By: Dividend Sensei
The market is reacting to the end of 2020’s campaign season with stimulus-driven euphoria. Pandemic-ravaged blue-chips are soaring. 2021 is expected to see the strongest growth in 20 to 30 years, potentially as strong as 6% to 8% according to some economists.
These two companies are my two favorite blue-chips for potential rockstar returns in 2021 and are the foundation of my 401K and Roth IRA.
Combined, they average a safe 4.8% yield, 22% CAGR long-term growth consensus, and are 37% undervalued.
Analyst 5-year consensus return potential over the next 5 years is 36% CAGR, 8.2X more than the S&P 500. Both companies have delivered those kinds of dream retirement, making returns from previous bear market lows, and could do so again.