4 Undervalued Stocks That Just Raised Dividends

Plus: Apple and Tesla – magnificent no more, and what sticky inflation means for your portfolio. [Morningstar](?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_smartinvestor&utm_content=53309&elqTrackId=2a296d87000a40ae91a045bf4c7bcaeb&elq=f271827e5de44f21a92fc11756ce4ef8&elqaid=53309&elqat=1&elqCampaignId=27027) [Smart Investor] Smart Investor [Tom Lauricella, chief markets editor]( Connect with Tom on [LinkedIn]( [Tom Lauricella] In this week's newsletter: - [4 Undervalued Stocks That Just Raised Dividends]( - [What Hot Inflation and Delayed Rate Cuts Mean for Investors]( - [March CPI Report: Why Is Inflation Still So Sticky?]( - [These 4 Charts Show Plunging Expectations for Fed Rate Cuts]( - [Magnificent No More? Apple and Tesla Stocks Are Weighing on the Market]( - [Inflation Takes Its Toll as Consumer Loan Delinquencies Rise]( Well, that was a bummer. It was a rough week for both stocks and bonds, as hopes that the Federal Reserve would start cutting interest rates this summer were squashed by yet another [higher-than-expected reading on inflation](. While predictions for the Fed have been volatile, the move following Wednesday’s Consumer Price Index was particularly notable. You [can read my look at the sharp shift in expectations]( not just for when the first rate cut will come, but also where the central bank will be by year-end. The big question for investors is what's happening in the economy as the improvement seen last year with inflation has ground to a halt. Sarah Hansen looks under the hood (with help from Morningstar chief US economist Preston Caldwell) at [why inflation is proving so darn sticky]( and what the outlook may hold. With rates looking seriously “higher for longer,” Hansen also checked in with money managers about what this may mean for the stock and bond markets. The takeaway: It isn’t actually so bad. You can find the [reasons for this here](. We also have a look at the impact [higher inflation is having on consumer debt]( courtesy of our colleagues at Morningstar DBRS. Meanwhile, we checked in with the Magnificent Seven. These days it’s more like the Magnificent Five, since Apple and Tesla are struggling. Here’s [our look at what’s happening with these two investor darlings]( and what Morningstar analysts think of their outlook. Lastly, we have a few new articles for investors in dividend stocks. Susan Dziubinski has [five dividend stock picks]( from top fund managers, David Harrell highlights [three income-paying names]( and we have our monthly screen of [undervalued stocks that just raised dividends](. This month, that list includes a fertilizer company and a couple of REITS. As always, check out our [Markets page]( for our latest coverage and live stock market updates, along with our [weekly calendar]( of key upcoming data and events. Did a friend forward this email? [Sign up here](. [4 Undervalued Stocks That Just Raised Dividends]( [4 Undervalued Stocks That Just Raised Dividends]( Mosaic and First Energy are among the cheap stocks with notable dividend increases in March. Tom Lauricella [Get Picks]( Share: [facebook]( [twitter]( [linkedin]( ADVERTISEMENT [media]( [media] Markets and the Economy [What Hot Inflation and Delayed Rate Cuts Mean for Investors]( [What Hot Inflation and Delayed Rate Cuts Mean for Investors]( There are near-term headwinds but a long-term constructive outlook. Sarah Hansen [These 4 Charts Show Plunging Expectations for Fed Rate Cuts]( [These 4 Charts Show Plunging Expectations for Fed Rate Cuts]( The hot March CPI report has bond traders significantly paring back rate cuts in 2024. Tom Lauricella [Magnificent No More? Apple and Tesla Stocks Are Weighing on the Market]( [Magnificent No More? Apple and Tesla Stocks Are Weighing on the Market]( Why growth concerns are affecting the stock prices of these two investor favorites. Sarah Hansen [Inflation Takes Its Toll as Consumer Loan Delinquencies Rise]( [Inflation Takes Its Toll as Consumer Loan Delinquencies Rise]( Consumer finances overall are still healthy, but vulnerable to a weakening job market. Yanni Koulouriotis, CFA [3 Dividend Stocks for April 2024]( [3 Dividend Stocks for April 2024]( The dividend prospects of three firms with wide or narrow Morningstar Economic Moat Ratings. David Harrell [March US CPI Report Shows Inflation at a 3.5% Annual Rate, Higher Than Expected]( [March US CPI Report Shows Inflation at a 3.5% Annual Rate, Higher Than Expected]( Core CPI rises at 3.8% annual rate. Tom Lauricella [The Dangerous Myth of ‘The New Normal’ ]( [The Dangerous Myth of ‘The New Normal’]( No, this time was not different. John Rekenthaler [What Higher Interest Rates Mean for Retirement Cash Flows]( [What Higher Interest Rates Mean for Retirement Cash Flows]( Now that interest rates are higher, should retirees try to live off of their portfolios’ yields? Christine Benz [3 Risks Higher Interest Rates Pose to Your Retirement Plan]( [3 Risks Higher Interest Rates Pose to Your Retirement Plan]( How to avoid the pitfalls. Christine Benz, Susan Dziubinski [The Best Bond Index Funds: Part 1]( [The Best Bond Index Funds: Part 1]( Intermediate core, short-term, and ultrashort funds. John Rekenthaler [Tesla Stock Is Down 30% In 2024. Is It a Buy?]( [Tesla Stock Is Down 30% In 2024. Is It a Buy?]( Tesla’s stock price has slid as investors reset expectations for slower growth. Diana Anghel [Going Into Earnings, Is Netflix Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Netflix Stock a Buy, a Sell, or Fairly Valued?]( With an eye on Q1 subscription trends, here’s what we think of Netflix stock. Matthew Dolgin [Going Into Earnings, Is Schwab Stock a Buy, a Sell, or Fairly Valued?]( [Going Into Earnings, Is Schwab Stock a Buy, a Sell, or Fairly Valued?]( With slowing cash sorting and a focus on expenses, here’s what we think of Schwab stock. Michael Wong [15 Stocks That Have Destroyed the Most Wealth Over the Past Decade]( [15 Stocks That Have Destroyed the Most Wealth Over the Past Decade]( These stocks have eroded shareholder value in dollar terms. Amy Arnott [Is Now the Time for Munis?]( [Is Now the Time for Munis?]( Here are three municipal-bond funds we like. Thomas Murphy [Matt Krantz: Yield-Chasing Investors Are ‘Asking for a World of Hurt’]( [Matt Krantz: Yield-Chasing Investors Are ‘Asking for a World of Hurt’]( An author and longtime investing columnist on the role of individual stocks in a diversified portfolio, the virtues of ETFs, and the biggest mistakes he sees individual investors making. Christine Benz, Amy Arnott [The Best Chinese Stocks to Buy]( [The Best Chinese Stocks to Buy]( These five undervalued Chinese stocks look attractive today. Sbidag Demerjian Chart of the Week [March CPI Report: Why Is Inflation Still So Sticky?]( [March CPI Report: Why Is Inflation Still So Sticky?]( Rising housing costs and higher gas prices are to blame. Sarah Hansen [Find Out More]( Share: [facebook]( [twitter]( [linkedin]( Recent Earnings [Wells Fargo: Net Interest Income Guidance Unchanged and Trading Revenue Strong]( We view the unchanged net interest income outlook as slightly disappointing. Suryansh Sharma [JPMorgan: Bumper Profits Driven by Strong Net Interest Income and Trading Revenue]( JPMorgan stock remains overvalued, and we believe better bargains are available elsewhere. Suryansh Sharma [BlackRock: Market Gains Make Up for Weaker Inflows as Firm Hits Record AUM]( We expect to slightly increase our fair value estimate of BlackRock stock. Greggory Warren [Tilray: Slower Revenue Growth and Margin Contraction]( We’ve lowered our fair value estimate of Tilray’s stock. Kristoffer Inton [Citigroup: Laser Focus on Expenses Needed to Achieve Long-Term Targets]( Citi’s transformation efforts are showing progress, and we expect more diligence in the bank’s core expense base management. Michael Wong [Morningstar Company Reports]( For a complete look at Morningstar’s take on first-quarter earnings, check out our new company earnings page and discover actionable insights today. Get Top Stock Picks and Market Insights Every Week on The Morning Filter. Every Monday morning, Susan Dziubinski sits down with Morningstar Chief U.S. markets strategist Dave Sekera to discuss what's on his radar, new Morningstar research, and stock picks or plans for the week ahead. [Watch Now.](morningstar/streams?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_smartinvestor&utm_content=53309) Stay connected: [twitter]( [facebook]( [linkedin]( [instagram]( [YouTube]( [Apple News]( [View online]( | [See all newsletters]( | [Share your feedback]( [Unsubscribe]( from this newsletter. Or update your [email preferences](. © 2024 Morningstar, Inc. All Rights Reserved. 22 W. Washington St. Chicago, IL 60602