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2 Dividend Stocks to Buy With $500 and Hold Forever
2 Dividend Stocks to Buy With $500 and Hold Forever

Yahoo

time23-05-2025

  • Business
  • Yahoo

2 Dividend Stocks to Buy With $500 and Hold Forever

Zoetis is a leading animal health company with a deep lineup and significant long-term tailwinds. Abbott Labs has a diversified portfolio of medical devices and several attractive growth avenues. Both healthcare stocks have impeccable dividend track records and bright futures still ahead. 10 stocks we like better than Zoetis › Broader equities have been volatile this year, but that's par for the course. The fact that the stock market will sometimes go through erratic periods is not a good reason not to invest. However, times like these might help remind us that some corporations are more resilient than others. Among the most resilient are longtime dividend payers with excellent underlying businesses and strong outlooks. That description fits Zoetis (NYSE: ZTS) and Abbott Laboratories (NYSE: ABT), two giants in the healthcare sector. For those with $500 to spare (not being saved for emergencies) and in the market for income stocks to park in their portfolios, here's why these two companies are outstanding candidates to put that money into now. Zoetis is a leading animal health company. The company's portfolio of products is deep and diversified. It markets medicines for companion animals, livestock, fish, poultry, and more. Zoetis has over 300 product lines and about 15 that generate over $100 million in annual revenue. Despite its usually strong performance, Zoetis has encountered some issues in the past year. The company's guidance for its fiscal 2025 was weak, or at least so the market thought. Furthermore, Zoetis will face increased competition for one of its growth drivers. The company's Apoquel, which helps relieve allergic itch in dogs, has been a top performer, but one of Zoetis' rivals, Elanco Animal Health, launched an alternative last year. While competition has been, and will continue to be, one of Zoetis' threats, the animal health specialist has been successful despite that. It routinely grows its revenue at a faster rate than the industry average. It is the leader, or one of the market leaders, across most categories and regions where it operates. The company also has important long-term growth drivers. Zoetis' companion animal segment generates the most revenue and is the most promising. Younger generations (millennials and Gen Z) have fewer kids than previous generations but are increasingly humanizing pets. Some of the spending which, for older folks, would have gone into caring for children will be redirected toward cats and dogs due to this dynamic. That should benefit Zoetis, which continues to develop and market newer and better pet care products. That's just one long-term tailwind. Here's another. A growing world population will lead to an increased demand for animal protein. To provide that in spades, we need to care for livestock, something else Zoetis specializes in. The company might encounter issues in the short run due to marketwide troubles and mounting competition, but Zoetis' long-term prospects look attractive thanks to its impressive track record in the industry and its existing lineup of products. Lastly, Zoetis is a terrific dividend stock, even with a mediocre forward yield of 1.2% -- the S&P 500's average is 1.3%. Zoetis has increased its payouts by 502% in the past decade while still boasting a conservative cash payout ratio of 34.2%. The stock should consistently deliver more dividend growth and solid returns to investors holding on to it for good. Abbott Laboratories is best known for its work in the medical device market. Sure enough, this segment is home to its most attractive sources of revenue and biggest growth drivers, but one of the company's strengths is its diversification. Abbott is also a leader in nutrition, boasts a solid diagnostic segment, and markets various pharmaceutical products. Abbott Laboratories has succeeded in keeping its business afloat even when significant problems in one segment or another arise, thanks to its reliance on multiple sources of revenue. That's why it routinely generates consistent revenue and earnings. Meanwhile, the company's prospects look strong. One of the company's key growth drivers is its FreeStyle Libre franchise, a family of continuous glucose monitoring (CGM) systems. The healthcare leader has to contend with stiff competition from DexCom in this area, but despite this long-standing challenge, the FreeStyle Libre has become the most successful medical device ever in terms of dollar sales -- and there is still ample room for growth, considering that the worldwide CGM diabetes market remains underpenetrated. Elsewhere, several other product lines and segments should see increased demand over the long run due to an aging worldwide population. Consider Abbott's MitraClip, a minimally invasive option to treat a serious heart problem called mitral valve regurgitation. This issue is more common among people aged 65 and older. That's why demand for the MitraClip (or other products like it that Abbott manufactures) will grow as people aged 65 and up make up a larger percentage of the population. It might not make a massive difference for just one of these products, but higher demand across the range of the company's portfolio will meaningfully affect its results. Turning to Abbott's income profile, the company has raised its payouts for 53 consecutive years, making it a Dividend King. The stock might only offer a yield of 1.8%, but its cash payout ratio looks reasonable at 60.4%. Abbott will encounter some issues. It is facing lawsuits over its infant formula products for premature babies allegedly causing fatal illnesses, among others. It will also have to deal with a competitive landscape and, potentially, the continuing threat of tariffs that could increase its costs and squeeze its bottom line. However, Abbott's strong presence in the healthcare industry, solid underlying business, and innovative capabilities should allow it to continue performing well over the long run, despite the headwinds. It's an excellent buy-and-hold forever stock for income seekers. Before you buy stock in Zoetis, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Zoetis wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $644,254!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $807,814!* Now, it's worth noting Stock Advisor's total average return is 962% — a market-crushing outperformance compared to 169% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of May 19, 2025 Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Abbott Laboratories and Zoetis. The Motley Fool recommends DexCom and recommends the following options: long January 2027 $65 calls on DexCom and short January 2027 $75 calls on DexCom. The Motley Fool has a disclosure policy. 2 Dividend Stocks to Buy With $500 and Hold Forever was originally published by The Motley Fool

Afternoon Briefing: Mother and daughter killed in Winnetka crash
Afternoon Briefing: Mother and daughter killed in Winnetka crash

Yahoo

time07-05-2025

  • Business
  • Yahoo

Afternoon Briefing: Mother and daughter killed in Winnetka crash

Good afternoon, Chicago. When a driver hit and killed two women pushing a baby boy in a stroller in Winnetka on Friday, Mudassir Rashid and other family members were left in shock. His wife, Sediqeh 'Asra' Samadi, 37, of Kenilworth, a chemical engineer who worked at Abbott Labs, was one of the victims. The other was her mother, Saeideh Sigari, a 58-year-old teacher who was visiting from Iran and had been excited to meet her only grandson for the first time. Samadi and Rashid's 4-month-old son, Yusuf, who was in the stroller, has been hospitalized at Advocate Lutheran General Hospital in Park Ridge in critical condition, said Rashid, an assistant professor and director of the pharmaceutical engineering program at Illinois Institute of Technology, also called Illinois Tech, in Chicago. Here's what else is happening today. And remember, for the latest breaking news in Chicago, visit and sign up to get our alerts on all your devices. Subscribe to more newsletters | Asking Eric | Horoscopes | Puzzles & Games | Today in History Homeland Security Secretary Kristi Noem stops in Springfield to criticize state's immigration policies Kristi Noem's event was held near where Emma Shafer, a 24-year-old community organizer, was stabbed to death in July 2023. The alleged killer, who Noem said was in the U.S. illegally at the time of the crime, remains at large. Read more here. More top news stories: US Sen. Jim Banks and Rep. Frank Mrvan ask US Treasury to consider national security in steel deal U.S. Sen. Jim Banks, R-Indiana, and Rep. Frank Mrvan, D-Highland, have sent a joint letter to the U.S. Department of Treasury, asking for the nation's owned and operated steel industry to be preserved. Read more here. More top business stories: Do the Chicago Bulls have a chance at landing Giannis Antetokounmpo on the trade market? Giannis Antetokounmpo is a nine-time All-Star and two-time MVP who averaged 30.4 points and 11.9 rebounds per game for the Milwaukee Bucks this season. Read more here. More top sports stories: Column: When Harry met Wally, the result was a definitive book on how to watch television They were young wide-eyed students when they met at Northwestern University. Walter Podrazik was from Bridgeport and Harry Castleman from Boston and it did not take them long to discover that they shared a passion for The Beatles. Read more here. More top Eat. Watch. Do. stories: Conclave begins in the Vatican: What to know about the election for the next pope One hundred and thirty-three cardinals are sequestering themselves behind the Vatican's medieval walls for the start of a conclave starting today to elect a successor to Pope Francis. Read more here. More top stories from around the world:

Afternoon Briefing: Mother and daughter killed in Winnetka crash
Afternoon Briefing: Mother and daughter killed in Winnetka crash

Chicago Tribune

time07-05-2025

  • Politics
  • Chicago Tribune

Afternoon Briefing: Mother and daughter killed in Winnetka crash

Good afternoon, Chicago. When a driver hit and killed two women pushing a baby boy in a stroller in Winnetka on Friday, Mudassir Rashid and other family members were left in shock. His wife, Sediqeh 'Asra' Samadi, 37, of Kenilworth, a chemical engineer who worked at Abbott Labs, was one of the victims. The other was her mother, Saeideh Sigari, a 58-year-old teacher who was visiting from Iran and had been excited to meet her only grandson for the first time. Samadi and Rashid's 4-month-old son, Yusuf, who was in the stroller, has been hospitalized at Advocate Lutheran General Hospital in Park Ridge in critical condition, said Rashid, an assistant professor and director of the pharmaceutical engineering program at Illinois Institute of Technology, also called Illinois Tech, in Chicago. Here's what else is happening today. And remember, for the latest breaking news in Chicago, visit and sign up to get our alerts on all your devices. Homeland Security Secretary Kristi Noem stops in Springfield to criticize state's immigration policies Kristi Noem's event was held near where Emma Shafer, a 24-year-old community organizer, was stabbed to death in July 2023. The alleged killer, who Noem said was in the U.S. illegally at the time of the crime, remains at large. Read more here. US Sen. Jim Banks and Rep. Frank Mrvan ask US Treasury to consider national security in steel deal U.S. Sen. Jim Banks, R-Indiana, and Rep. Frank Mrvan, D-Highland, have sent a joint letter to the U.S. Department of Treasury, asking for the nation's owned and operated steel industry to be preserved. Read more here. Do the Chicago Bulls have a chance at landing Giannis Antetokounmpo on the trade market? Giannis Antetokounmpo is a nine-time All-Star and two-time MVP who averaged 30.4 points and 11.9 rebounds per game for the Milwaukee Bucks this season. Read more here. More top sports stories: 3 takeaways from the Chicago Sky's preseason win, including Kamilla Cardoso flashing her offensive potential Chicago Cubs give up 9 hits in the 11th inning to lose 14-5 after rallying in the 9th 'I just missed it': A series of late defensive miscues cost the Chicago White Sox in 4-3 loss Column: When Harry met Wally, the result was a definitive book on how to watch television They were young wide-eyed students when they met at Northwestern University. Walter Podrazik was from Bridgeport and Harry Castleman from Boston and it did not take them long to discover that they shared a passion for The Beatles. Read more here. More top Eat. Watch. Do. stories: Jazz Fest headliners announced for summer 2025 Conclave begins in the Vatican: What to know about the election for the next pope One hundred and thirty-three cardinals are sequestering themselves behind the Vatican's medieval walls for the start of a conclave starting today to elect a successor to Pope Francis. Read more here.

The health care sector is a mixed picture, but Abbott Labs is a buy.
The health care sector is a mixed picture, but Abbott Labs is a buy.

Forbes

time28-04-2025

  • Business
  • Forbes

The health care sector is a mixed picture, but Abbott Labs is a buy.

Photographer: Jamie Kelter Davis/Bloomberg © 2024 Bloomberg Finance LP The health care sector has declined by 0.18% in 2025. This is better than the S&P 500's drop of 6.06%. The Health Care Select Sector SPDR Fund (XLV) is graphed below. Looking within the sector is instructive. Market sentiment and breadth in the sector are at lows only seen during excessive selling. Short-term, the percentage of healthcare stocks exceeding their lower Bollinger Band suggests a near-term low. There is also insider buying, a positive signal that is not showing up in other sectors. The graphs tell us more. We see that relative strength has been rising since September. This is short of the six-month minimum that would be an indication of a sustained rally. Weekly, relative strength and seasonality are both favorable. The months of March through July each have positive expected return. Turning to the dynamic cycles, the monthly cycle rises into July. The stronger stocks within healthcare are likely to do well such as Abbott Laboratories. XLV Daily, Weekly, Monthly Weekly, relative strength is turning up. Cycles Research Investments LLC XLV Monthly Histogram XLV Monthly Cycle This cycle peaks in July. Cycles Research Investments LLC Weekly, Abbott has reversed a relative downtrend that began in January of 2023. The stock had been underperforming while the market rallied in 2024. The stock appears in a position to lead. In fact, Abbott is in thirteenth place in the relative standings in the S&P 100. Monthly, the stock is not overbought as many other large-cap shares are. The last two graphs are most constructive. The monthly histogram reveals strong seasonality and the dynamic monthly cycle is rising through 2025. The $140 level is the near-term target and the objective for yearend is $160. Abbott Labs Daily, Weekly, Monthly Abbott Monthly Histogram Abbott Labs Monthly Cycle This accurate cycle rises through 2025. Cycles Research Investments LLC

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