By: Dividend Sensei
The 2022 bear market might end up seeing 8 or 9 bear market rallies, with a lot more volatility to come.
Ultra-low volatility defensive dividend aristocrats like JNJ are a great way to ride out even the most extreme market storms.
JNJ’s recession-resistant business model, along with an AAA-credit rating and 59-year dividend growth streak, makes it a great way to stay rich, if you’re already rich.
But these two dividend aristocrats are higher yielding A-rated defensive aristocrats with superior growth prospects and much better valuations. Both could double in the next five years, delivering 3X better returns than JNJ.
Long-term both are likely to deliver far more income and inflation-adjusted wealth. One in particular is my personal favorite right now, thanks to its 28% historical discount, 3.3% very safe yield, A-credit rating, and 93rd global long-term risk management percentile rating from S&P.