2 Outrageously Cheap Buffett-Style Aristocrat Bargains For 2023
By: Dividend Sensei
A recession in 2023 could cause negative earnings growth to gut stocks in the next few months.
Or, as happens 65% of the time when earnings growth is negative, stocks might soar. The smart long-term investor doesn’t risk missing out on 6500% returns trying to make 6522%.
Coiled spring dividend aristocrats, which are 32% to 42% undervalued, are low-risk/super high probability buys today, whether or not we get a recession and stock market crash this year.
This first coiled spring aristocrat offers a very safe 4.1% yield and a 27-year dividend growth streak. It has a secular megatrend at its back that could deliver 16X inflation-adjusted returns long-term and as much as 52% in the next year alone.
This second coiled spring aristocrat is 42% undervalued, trading at 9.3X cash-adjusted earnings. It has a $150 trillion megatrend that could drive 16% growth and deliver 65X inflation-adjusted returns over the next 30 years. But it could also double in the next three years and potentially even soar 72% in 2023.
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