1 Magnificent Dividend Stock That's Down 25% and Trading at a Once-in-a-Decade Valuation
Despite growing sales by 40% over the last five years -- further locking in its status as the world's largest spirits company -- (NYSE: DEO) has seen its share price dip slightly over the same time. Thanks to this divergence between the company's declining share price and its steady business growth, investors may have an opportunity to buy the adult beverage juggernaut at a deep discount.
Diageo stock trades at a valuation it hasn't seen since 2012 (even including the crash in March 2020). Here's why now may be the time to invest in Diageo and its 2.7% dividend yield.
Diageo has a 4.7% share of the total beverage alcohol (TBA) market, and is roughly 40% bigger than its next largest peer. It has the No. 1 position internationally in whiskey, scotch, tequila, rum, vodka, and gin. It boasts a portfolio of over 200 beverage brands, including famous global names include Johnnie Walker, Guinness, Smirnoff, Baileys, Captain Morgan, and Tanqueray.
Source Fool.com
