6 Dividend Champions for Safely Compounding This Year's Hefty Market Gains

 | Feb 28, 2024 11:05

  • Dividend ETFs can be great options for those looking to invest for regular income.
  • However, some investors prefer to invest in individual stocks.
  • So in this article, we will take a look at some top stocks with upside potential along with the best ETFs.
  • Investing in the stock market? Take advantage of our InvestingPro discounts . More information at the end of this article.

    • Investors often find dividends attractive, but it's not wise to base stock purchases solely on high dividend yields. While dividends can be a bonus, they shouldn't be the primary reason for buying stocks.

    Before buying stocks for dividend yields, investors should consider aspects like financial health along with the stock's upside potential.

    For those who aren't comfortable with investing in individual stocks, ETFs can be great options.

    There are several well-known dividend ETFs to choose from. However, it's essential to examine their performance over the past few years before you decide to invest.

    Here are the top dividend ETFs you can consider:

    Vanguard FTSE Developed Markets Index Fund ETF Shares (NYSE:VEA)

    • Dividend yield: 4.99%
    • Focuses on Japanese dividend-paying companies.

    Schwab U.S. Dividend Equity ETF (NYSE:SCHD)

    • Dividend yield: 3.81%
    • Manages 4.9B in assets.

    WisdomTree Japan Hedged Equity Fund (NYSE:DXJ)

    • Dividend yield: 6.23%
    • Manages $8.4B in assets.

    While ETFs can be a great choice for some investors, others prefer to invest in individual stocks.

    Below, we will take a look at some stocks with appealing dividend yields and bullish potential using the InvestingPro tool, which provides essential data for our analysis.

    1. Uniti Group/h2

    Uniti Group (NASDAQ:UNIT) is engaged in the acquisition and construction of communications infrastructure and is a leading provider of fiber and other wireless solutions.