This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

9 Stocks With Low Volatility, High Dividends

The stock with the lowest beta was Abbott Laboratories (ABT) at 0.30. The drug maker's shares also have a healthy forward annual yield of 3.8% at current levels in the low 50s. The stock closed Monday at $50.75, down 21 cents.

Abbott has beaten Wall Street's earnings expectations in the past eight quarters but it's not really doing much more than that, typically coming in a penny ahead. Jefferies & Co. initiated coverage of the stock with a buy rating last week and a 12-month price target of $60, saying Abbott trades at an "unwarranted discount" to its peers.

"Fears of new competition to Humira are overdone, in our view, and have clouded investors' ability to appreciate the company's growth potential," the firm said on Sept. 20. "We see numerous R&D catalysts and above-consensus revenue and EPS projections which should unlock significant value over the next 12 months."

The other drug company on the list was Baxter International (BAX) checking in with a beta of 0.53 and a forward annual yield of 2.3%. The stock finished Monday at $54.33, up 1.6%, and has held up well so far in 2011, rising more than 6%.

Wall Street is pretty bullish on Baxter with 14 of the 20 analysts covering the stock at either strong buy (6) or buy (8) with a median 12-month price target of $67 implying potential upside of 24% from current levels.

Big oil is also well represented with Chevron (CVX) and Exxon Mobil (XOM). The stocks have betas of 0.77 and 0.51 respectively with forward annual dividend yields of 3.4% and 2.7%.

Exxon shares closed Monday at $71.72, enjoying a 3%-plus bounce. The Dow component is an earnings juggernaut with net income seen topping $40 billion in 2011 on revenue of more than $470 billion. With a forward price-to-earnings multiple of 8X, the stock trades at a discount to the S&P 500, which is trading at around 12X.

Chevron is even cheaper with a forward P-E of 6.9X, and after closing Monday at $91.49, it's down a little over 1% year-to-date. Wall Street is very bullish on Chevron right now with 19 of the 23 analysts covering the stock rating it at either strong buy (9) or buy (10).

Two big retail names also make the cut with Target (TGT) and Wal-Mart Stores (WMT) coming in with betas of 0.91 and 0.32 respectively, and dividend yields of 2.3% and 2.9%.

Dow component Wal-Mart has topped out on growth in its U.S. stores for now, struggling to deliver same-store sales at its domestic locations, and its stock has stalled as well, falling 6% so far in 2011. The shares closed Monday at $51.83, up 2%.

Target has fared worse, however, with shares down nearly 20% this year, although the recent furious excitement about the launch of the Missoni line of products may be a sign of better things to come. The stock finished Monday at $50.62, up 3%.

2 of 4

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,080.88 -32.66 -0.19%
S&P 500 1,983.10 -0.43 -0.02%
NASDAQ 4,459.0250 +3.0090 0.07%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs