Cramer’s Favorite Dividend Stocks
“Forget about the bears in Dubai,” Jim Cramer said on his “Mad Money” TV show Monday. Unlike many on Wall Street, Cramer doesn’t think the problems with Dubai World’s debt will force the market into a correction. However, if that should occur he told viewers to focus on high-yielding dividend stocks, the kind the bears don’t like to short. This is due to the fact that when an investor borrows a stock to sell short, he or she is responsible for paying any dividend related to it. “This makes stocks with high yields off limits for many bears,” Cramer said. He told viewers that combined with the favorable tax rate given to dividends, and their compounding ability over time, these stocks offer market players a trifecta of protection against market declines. So which six dividend stocks does Cramer like the best? He said he likes Intel Corp (NASDAQ:INTC) and its 3.3% yield; Kimberly-Clark Corporation (KMB) at 3.6%; McDonald’s Corp (NYSE:MCD) with 3.5%; Clorox (CLX) at 3.3%; Sanofi-Aventis (NYSE:SNY) paying 3.8%; and Eaton Corporation (ETN) with its 3.1% yield. Get the scoop on tomorrow’s hottest trade ideas – TODAY! BeaconEquity.com PREMIER PICKS have an amazing track record. Join this select group and ride the profit wave!
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