In this article we discuss 5 Best High Yield Stocks To Buy Now. If you want to read our detailed analysis of the best performing high yield stocks, go directly to 10 Best High Yield Stocks To Buy Now.
At Insider Monkey we leave no stone unturned when looking for the next great investment idea. For example, lithium mining is one of the fastest growing industries right now, so we are checking out stock pitches like this emerging lithium stock. We go through lists like the 10 best hydrogen fuel cell stocks to pick the next Tesla that will deliver a 10x return. Even though we recommend positions in only a tiny fraction of the companies we analyze, we check out as many stocks as we can. We read hedge fund investor letters and listen to stock pitches at hedge fund conferences. You can subscribe to our free daily newsletter on our homepage. Keeping this in mind let’s take a look at the best high yield stocks to buy now:
5. Artisan Partners Asset Management Inc (NYSE: APAM)
Dividend Yield: 5.78%
Payout Ratio: 82.06%
Wisconsin-based Artisan Partners Asset Management Inc (NYSE: APAM) offers investment management services to businesses, mutual funds and various pooled investment vehicles. It also provides equity investment advice and fixed income strategies. Earlier in February, the company posted its Q4 non-GAAP EPS of $1.06, beating the Wall Street estimates by $0.05. GAAP EPS in the period totaled $1.15, above the consensus by $0.13. Revenue in the period jumped 25% to reach $261.1 million, beating the analysts’ forecasts by $4.77 million.
A total of 26 hedge funds tracked by Insider Monkey were bullish APAM at the end of the September quarter, up from 21 funds a quarter earlier.
4. New York Community Bancorp, Inc. (NYSE: NYCB)
Dividend Yield: 6.52%
Payout Ratio: 66.6%
New York Community Bancorp is one of the largest banks in the U.S. It offers multi-family or commercial loans mainly in the New York area. The bank announced a CEO transition in December 2020. In the fourth quarter, NYCB posted its Q4 non-GAAP EPS of $0.27, beating the Street’s estimates by $0.01. Revenue in the period increased by over 24% to $322.95 million, above the consensus by $9.9 million.
Ken Griffin’s Citadel Investment Group increased its hold in NYCB by 40% in the third quarter, ending the period with 11.28 million shares of the company. The fund owns 11.28 million shares of the company. Overall, 28 hedge funds in Insider Monkey’s database of 816 funds are bullish on the company.
3. Centurylink Inc (NYSE: LUMN)
Dividend Yield: 8.18%
Payout Ratio: 84.03%
Louisiana-based CenturyLink, also known as Lumen Technologies, provides services and products for communications, network services, security, cloud solutions and voice. The Fortune 500 company has a vital role to play in the growing communications sector, as its key equipment for local and long-distance voice, Multi-Protocol Label Switching (MPLS), Cloud hosting, data center and integration is used worldwide.
Mason Hawkins’ Southeastern Asset Management is one of the 31 hedge funds tracked by Insider Monkey having stakes in LUMN at the end of the third quarter. The fund owns over 62 million shares of the company.
2. Prudential Financial Inc (NYSE: PRU)
Dividend Yield: 5.49%
Payout Ratio: 37.64% (Trailing 12 Months of Earnings)
New Jersey-based Prudential Financial ranks 53 on the Fortune 500 list. The company offers insurance, investment management services and various financial products to retail and institutional customers in the U.S. and 40 countries. The company has over $1.4 trillion worth of assets.
Earlier in February, the company announced plans to return up to $10 billion of capital to its stockholders via dividends and share repurchases over a period of three years. The company said it will resume its stock buyback program in the first quarter of 2021. In the fourth quarter, Prudential’s adjusted EPS came in at $2.93, easily beating the Wall Street forecast of $2.57.
The company is also getting the attention of the smart money, as 34 hedge funds tracked by Insider Monkey reported owning stakes in the company at the end of the third quarter, up from 26 funds a quarter earlier.
1. Brookfield Property Reit Inc Class A (NASDAQ: BPYU)
Dividend Yield: 7.48%
Payout Ratio: 8.41% (Based on Cash Flow)
Brookfield Property ranks 1st on the list of 10 best high yield stocks to buy now. It is a commercial real estate company that provides services related to operation, development and management of retail and other rental properties. The company owns about 122 retail properties in the U.S. Earlier in February, the company said it completed $1.37 billion of gross asset dispositions. The company said that it was encouraged by the recovery in the private market activity in the fourth quarter.
As of the end of the third quarter, 35 hedge funds tracked by Insider Monkey held stakes in the company. The total value of these stakes is $1.1 billion.
You can also read 15 Best E-Commerce Stocks To Buy Now and 10 Best Climate Change Stocks to Buy Now.
