CNBC’s Jim Cramer on Thursday offered investors a list of dividend stocks whose yields rec...
CNBC’s Jim Cramer on Thursday offered investors a list of dividend stocks whose yields recently increased, that he believes buyers should add to their portfolio.
“You want bountiful dividends that are also safe, and the best way to determine a dividend’s safety is by searching for the companies that have recently raised their payouts,” the “Mad Money” host said.
CNBC’s Jim Cramer on Thursday offered investors a list of dividend stocks with yields that recently increased, that he believes buyers should add to their portfolio.
Dividends are a generally “unassailable defense against a volatile market,” the “Mad Money” host said, which means that they can be attractive additions.
To the portfolio of an investor worried about Russia’s invasion of Ukraine, soaring inflation, and Covid fears that have roiled the market in recent weeks.
“You want bountiful dividends that are also safe, and the best way to determine a dividend’s safety is by searching for the companies that have recently raised their payouts.
Because that’s the ultimate sign of confidence in the future,” Cramer said. “Plus, with interest rates on the rise, only the dividend boosters can keep up with the bond market competition,” he added.
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To come up with his list, which he said are the “biggest dividend raisers of 2022 so far,” Cramer only included stocks that raised dividends this year by more than 20%.
Using this criterion, he shrunk the list of hundreds of stocks listed in the S&P 500 to 27 names, then down to 11 stocks that he believes can outpace inflation and be attractive additions to buyer’s portfolios.
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“When the Fed is tightening to combat rampant inflation, I don’t want you to overthink it — you want to circle the wagons around companies that are rapidly raising their dividends,” Cramer said.