Better Dividend Stock: Altria vs. Target
Altria (NYSE: MO) and Target (NYSE: TGT) both have reputations as safe dividend stocks for conservative investors. Altria, the largest tobacco company in the U.S., has raised its dividend every year since it spun off its international unit as Philip Morris International (PMI) in 2008. Target is a Dividend King that has raised its annual payout for 51 straight years.
Altria pays a forward yield of 8.1% and trades at just 9 times forward earnings. Target pays a lower forward yield of 2.7% and trades at 19 times forward earnings. Based on those numbers alone, some value-seeking income investors might gravitate toward Altria instead of Target.
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Source Fool.com
