By: Dividend Sensei
Income investors face a perfect storm of risk right now, including sky-high inflation, record negative real bond yields, and a potential lost decade for stocks.
Fortunately, it’s a market of stocks, not a stock market, and high-yield anti-bubble aristocrats might be just what the doctor ordered to help you beat inflation and retire rich.
This dividend aristocrat yields 4.0%, has a 37-year dividend growth streak, and is trading at 8.0X forward earnings, pricing in -0.3% growth.
Analysts expect 6.9% growth from this 33% undervalued anti-bubble Buffett-style “fat pitch” which could deliver 76% returns in the next two years, and 217% returns in the next five years, 11X the S&P 500 consensus.
In other words, while the market might go nowhere for several years, this 4% yielding aristocrat could triple.
For anyone comfortable with its risk profile, this 4% yielding dividend aristocrat could be just what the doctor ordered to help you beat inflation, retire rich, and stay rich in retirement, no matter what the economy, stock market, or inflation does in the coming years and decades.