Three consumer goods stocks are currently attracting attention from dividend investors despite recent price declines. Diageo (DEO), the world’s largest spirits company, has faced challenges from a sluggish alcohol market and global trade tensions, prompting a leadership change and a significant dividend cut. However, with a forward P/E ratio of just 12, the stock presents a compelling buying opportunity as the market stabilizes.
Similarly, Campbell’s Company (CPB) offers a hefty 7.2% dividend yield, even as it navigates restructuring efforts. Its strong free cash flow of $2.31 per share against a $1.56 dividend payout suggests a robust financial position, making it a solid choice for income-focused investors, despite modest growth projections.
Lastly, Mondelez International (MDLZ) stands to benefit from declining cocoa prices, which should ease profit margin pressures. With an attractive 3.5% dividend yield and an expected 8% annual earnings growth, Mondelez is well-positioned for recovery. For a deeper dive into these investment opportunities, I highly recommend exploring the full article.
Source: fool.com