Actionable Conclusions (1-10): Brokers Forecast 42.45% To 74.87% Net Gains From Their Bullish June Top 10 Dividend Dogs
Three of top 10 yield broker bull dividend stocks were identified as being among the top 10 net gainers for the coming year, based on analyst 1-year target prices. (They are tinted gray in the chart below.) So, our dogcatcher yield-based forecast for bullish broker dividend dogs was graded by Wall St. brokers as 30% accurate.
Projections based on estimated dividend returns from $1000 invested in each of the high-yield stocks and their aggregate 1-year analyst-estimated median target prices, as reported by YCharts, created the 2019-20 data points. Note: 1-year target prices by lone analysts were not applied. Ten probable profit-generating trades projected to June 14, 2020, were:
Mammoth Energy Services (TUSK) netted $748.67 based on the median of target price estimates from nine analysts plus dividends, less broker fees. The Beta number showed this estimate subject to risks 117% more than the market as a whole.
Tecnoglass Inc. (TGLS) was projected to net $733.07 based on target price estimates from five analysts plus annual dividend, less broker fees. The Beta number showed this estimate subject to risks 47% more than the market as a whole.
CNX Midstream Partners LP (CNXM) was projected to net $498.79 based on dividends plus a median of target price estimate from eight analysts, less broker fees. The Beta number showed this estimate subject to risks 21% more than the market as a whole.
Alliance Resource Partners (ARLP) was projected to net $480.93 based on the median of target estimates from four analysts plus dividends, less broker fees. The Beta number showed this estimate subject to volatility 2% under the market as a whole.
China Petroleum & Chemical Corp. (SNP) was projected to net $463.32 based on dividends plus a median of target estimates from four analysts, less broker fees. The Beta number showed this estimate subject to risks 53% more than the market as a whole.
Falcon Minerals Corp. (FLMN) was projected to net $435.32 based on the median of target price estimates from nine analysts plus dividends, less broker fees. A Beta number was not available for FLMN.
National CineMedia Inc. (NCMI) was expected to net $434.87 based on the median of target price estimates from six analysts plus dividends, less broker fees. The Beta number showed this estimate subject to risks 18% less than the market as a whole.
Oasis Midstream Partners (OMP) was projected to net $434.40 based on dividends plus median target price estimates from eight analysts, less broker fees. A Beta number was not available for OMP.
Hess Midstream Partners (HESM) was projected to net $232.03 based on dividends plus a median of target price estimates from five analysts, less broker fees. A Beta number was not available for HESM.
Black Stone Minerals (BSM) was projected to net $424.53 based on dividends plus a mean target price estimate from six analysts, less broker fees. The Beta number showed this estimate subject to risks 33% less than the market as a whole.
The average net gain in dividend and price was estimated at 50.86% on $10k invested as $1k in each of these 10 dogs. This gain estimate was subject to average risk 11% less than the market as a whole.
The Dividend Dogs Rule
Stocks earned the “dog” moniker by exhibiting three traits: (1) paying reliable, repeating dividends, (2) their prices fell to where (3) yield (dividend/price) grew higher than their peers. Thus, the highest-yielding stocks in any collection became known as “dogs”. More precisely, these are, in fact, best called “underdogs”.
50 Broker Bull Dogs By Price Target Upsides
This scale of broker-estimated upside (or downside) for stock prices provides a scale of market popularity. Note: Zero broker coverage or single broker coverage produced a zero score on the above scale. The broker upside score can be taken as an emotional component as opposed to the strictly monetary and objective dividend/price yield-driven report below.
50 Broker Bull Dogs By Yield
Actionable Conclusions (11-20): 10 Top Broker Bull Stocks Ranked By Yield
Top 10 broker bullish dividend stocks selected 6/14/19 by yield represented six of eleven Morningstar sectors. Top-yielding stock Alumina Ltd. (OTCQB:AWCMY)  was the first of three basic materials representatives. The others slotted in the second and third places, CONSOL Coal Resources LP (CCR)  and Alliance Resource Partners LP .
In sixth place was the lone industrials representative, KNOT Offshore Partners LP (KNOP) . Then, one energy firm placed seventh, CNX Midstream Partners LP . Finally, the lone consumer cyclicals representative, National CineMedia Inc. , placed tenth to complete the broker bull top yield 10 for June.
Actionable Conclusions: (21-30) Top 10 Broker Bull Dogs Showed 34.71% To 68.37% Upside To June 2020, With (31) Two Zeros At The Bottom
To quantify top dog rankings, analyst mean price target estimates provided a “market sentiment” gauge of upside potential. Added to the simple high-yield “dog” metrics, analyst mean price target estimates became yet another tool to dig out bargains.
Analysts Predicted A 1.44% Advantage For 5 Highest-Yield, Lowest-Priced Broker Bulls Out Of 10 Top Stocks To June 2020
Ten top broker bull dividend dogs were culled by yield for their monthly update. Yield (dividend/price) results verified by YCharts did the ranking.
As noted above, the top 10 broker favorite dividend stocks represented six of eleven Morningstar sectors.
Actionable Conclusions: Analysts Projected 5 Lowest-Priced of the 10 Highest-Yield Broker Bull Stocks (32) To Fetch 32.93% Vs. (33) 32.46% Net Gains from All 10 by June 2020
$5000 invested as $1k in each of the five lowest-priced stocks in the top 10 broker favorite dividend kennel by yield were predicted to produce 1.44% more gain than $5,000 invested as $.5k in all 10. The fifth-lowest priced broker favorite top-yield stock, CNX Midstream Partners LP, was projected to deliver the best net gain of 49.88%.
The five lowest-price broker favorite top 10 dividend stocks June 14 were National CineMedia Inc., PennantPark Investment Corp., Alumina Ltd., OFS Capital Corp., and CNX Midstream Partners LP, with prices ranging from $6.31 to $13.69.
Five higher-priced broker favorite dividend stocks for June 14 were CONSOL Coal Resources LP, Cherry Hill Mortgage Investment Corp., Alliance Resource Partners LP, KNOT Offshore Partners LP, and Global Net Lease Inc., whose prices ranged from $15.74 to $19.59.
The distinction between five low-priced dividend dogs and the general field of ten reflected Michael B. O’Higgins’ “basic method” for beating the Dow. The scale of projected gains based on analyst targets added a unique element of “market sentiment” gauging upside potential. It provided a here-and-now equivalent of waiting a year to find out what might happen in the market. Caution is advised, since analysts are historically only 20-80% accurate on the direction of change and just 0-20% accurate on the degree of change.
The net gain/loss estimates above did not factor in any foreign or domestic tax problems resulting from distributions. Consult your tax advisor regarding the source and consequences of “dividends” from any investment.
The stocks listed above were suggested only as possible reference points for your broker bull dividend dog stock purchase or sale research process. These were not recommendations.
Disclaimer: This article is for informational and educational purposes only and should not be construed to constitute investment advice. Nothing contained herein shall constitute a solicitation, recommendation or endorsement to buy or sell any security. Prices and returns on equities in this article except as noted are listed without consideration of fees, commissions, taxes, penalties, or interest payable due to purchasing, holding, or selling same.
Graphs and charts were compiled by Rydlun & Co., LLC from data derived from IndexArb; YCharts; Yahoo Finance; analyst mean target price by YCharts. Dog photo: YouTube
Get All Of The Broker BULL ‘Safer’ Dividend Dog Story
Click here to subscribe to The Dividend Dogcatcher & get more information.
Catch A Dog On Facebook At 8:45 AM every NYSE trade day on Facebook/Dividend Dog Catcher, A Fredrik Arnold live video highlights a portfolio candidate in the Underdog Daily Dividend Show!
Root for the Underdog. Comment below on any stock ticker to make it eligible for my next FA follower report.
Disclosure: I am/we are long ADES, BGSF. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.