10 Best Dow Dividend Stocks for 2011
BOSTON (TheStreet) -- Pimco, the bond-fund manager that predicted the next five years would be a "new normal" of slow economic growth and below-average investment returns, boosted its 2011 economic-growth forecast last week by a full percentage point.
Pimco's new normal, coined after the financial meltdown and stock-market crash, has cast a pall over the investing world because the firm runs the world's biggest bond fund and employs some of the brighest minds in the market. With U.S. stocks struggling this year, it seemed Pimco's prediction was prescient.
But some investors disagreed. Ken Fisher, billionaire CEO of Fisher Investments, said as stocks were rebounding in September that the next decade would be as fruitful as the 1990s, when the S&P 500 Index rose in eight of 10 years. He called the concept of the new normal "idiotic." Just on Friday, "Mad Money" host Jim Cramer said a "raging" bull market is beginning.
So, the case for stocks is compelling, given the low yields offered by bonds and the government's commitment to accelerate economic growth. Among the cheapest stocks in the U.S. market are Dow components, which offer clean balance sheets, powerful brands and emerging-markets exposure.
Below are analysts' aggregate ratings, calculated by Bloomberg, of the bottom 20 Dow dividend stocks. 30. Travelers (TRV), Aggregate Rating: 3.58/529. Verizon (VZ), Aggregate Rating: 3.73/5
28. Exxon Mobil (XOM), Aggregate Rating: 3.74/5
27. Caterpillar (CAT), Aggregate Rating: 3.79/5
26. Alcoa (AA), Aggregate Rating: 3.82/5
25. Disney (DIS), Aggregate Rating: 4.06/5
24. Home Depot (HD), Aggregate Rating: 4.07/5
23. J&J (JNJ), Aggregate Rating: 4.08/5
22. GE (GE), Aggregate Rating: 4.10/5
21. 3M (MMM), Aggregate Rating: 4.11/5
20. Intel (INTC), Aggregate Rating: 4.11/5
19. AT&T (T), Aggregate Rating: 4.11/5
18. Pfizer (PFE), Aggregate Rating: 4.21/5
17. B. of A. (BAC), Aggregate Rating: 4.24/5
16. Boeing (BA), Aggregate Rating: 4.27/5
15. Am. Express (AXP), Aggregate Rating: 4.27/5
14. McDonald's (MCD), Aggregate Rating: 4.27/5
13. DuPont (DD), Aggregate Rating: 4.28/5
12. Cisco (CSCO), Aggregate Rating: 4.31/5
11. P&G (PG), Aggregate Rating: 4.33/5
Now, here is a closer look at the 10 highest-rated Dow dividend stocks for 2011.
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