3 Retailing Stocks to Buy That Yield More Than 4%
As a brutal selling environment has pressured shares, many retailing stocks are offering income investors unusually high yields today. However, there's no point owning a generous dividend stock only to see it sliced as a company is forced to save cash. A strong yield isn't much protection from a collapsing share price, either.
Below we'll highlight a few retailers that, while boasting a yield that's at least twice as big as the broader market, stand a good chance to post improving, or at least steady, operating results. Read on to find out why Target (NYSE: TGT), Macy's (NYSE: M), and GameStop (NYSE: GME) might make solid income investments today.
The 18% dive in Target's shares this year has sent its dividend yield just above 4%. Yet the retailer is enjoying improving operating results right now. Comparable-store sales grew by 1.3% in the second quarter to mark a solid increase over the prior quarter's 1.3% decline. Both of those results were above management's guidance.
Source: Fool.com
Target Corp. Stock
The stock is an absolute favorite of our community with 37 Buy predictions and no Sell predictions.
As a result the target price of 169 € shows a slightly positive potential of 14.7% compared to the current price of 147.34 € for Target Corp..
