What does "dual potential" mean for these stocks?

"Dual potential" refers to stocks that offer two distinct ways to make money. First, these stocks are predicted by analysts to increase in share price (capital appreciation). Second, they pay dividends, which is regular cash distributed to shareholders from company profits. This combination gives you two possible sources of returns instead of relying on just share price growth alone.

What is dividend yield and why does it matter?

Dividend yield is the annual dividend payment divided by the stock's current price, expressed as a percentage. For example, if a $100 stock pays $3 in annual dividends, the yield is 3%. Higher yields generally mean more income for each dollar invested. It matters because it helps you compare the income potential of different dividend stocks and provides a steady return even if the stock price doesn't increase.

What is the "ex-dividend date"?

The ex-dividend date is an important day for dividend investors. If you buy a stock before its ex-dividend date, you'll receive the next dividend payment. If you buy on or after this date, the previous owner gets the dividend. Think of it as the cutoff date that determines who receives the upcoming dividend payment. This date is typically set a few weeks before the actual payment date.

What does "potential profit percentage" tell me?

Potential profit percentage shows how much analysts predict a stock's price might increase over the next 12 months, expressed as a percentage. For example, a 20% potential profit means analysts believe the stock price could rise by 20% from its current level. This is a forecast based on company performance, industry trends, and market conditions, though it's important to remember that these are predictions, not guarantees.

Why is market cap important when considering these stocks?

Market capitalization (or "market cap") is the total value of a company's outstanding shares, showing its overall size in the market. The stocks in this collection all have market caps above $10 billion, making them large, established companies. Larger companies typically offer more stability, established business models, and often more predictable dividend payments, though they may grow more slowly than smaller companies. This size factor adds an extra layer of security when looking for both growth and income.

7 handpicked stocks

7 Stocks with Dual Potential

This collection features companies that offer two ways to grow your money. Professional analysts predict these stocks will increase in value while also rewarding shareholders with regular dividend payments. It's like getting the best of both worlds!

Han Tan | Market Analyst

Updated 2 days ago | Published at मई 10