Undervalued by 17% and Yielding More Than 4%, This Dividend Stock Is a Buy

Plus: 13 Undervalued Stocks That Just Raised Dividends, 10 Cheap Dividend-Growth Stocks to Buy, and 3 Warren Buffett Stocks to Own Forever [Morningstar](?utm_source=eloqua&utm_medium=email&utm_campaign=newsletter_stockstrategist&utm_content=52502&elqTrackId=295d3009e05548b5887e4aa72f6df766&elq=9c6e8c8fb0fa4cf0b0438be396ce46bf&elqaid=52502&elqat=1&elqCampaignId=26463) [Stock Strategist] Stock Strategist March 11, 2024 Good Morning! Here's the rundown of what's happening in the stock market. Is the stock market overvalued? With equities up nearly 30% over the past year, it’s a good question. Of course, it all depends on which metric you’re looking at. Sarah Hansen digs into what the different measures are saying about [whether the market has room to run](. Now that earnings season is over, we can take a closer look at how companies fared across the list of stocks covered by Morningstar analysts. We’re starting off with a screen of the stocks that had the largest fair value estimate increases. Not too surprisingly, Nvidia was one, but we have nine others that saw a [significant increase in their valuations](. We also screened from among the best-performing stocks over the past year for companies that Morningstar analysts still think are cheap. We’ve [got seven for you]( including a household name. Economic Releases Scheduled for the Coming Week - Tuesday, March 12 - Feb. [Consumer Price Index]( report - CPI (month to month): 0.4% vs. 0.3% in Jan. - Core CPI (month to month): 0.3% vs. 0.4% in Jan. - CPI (year over year): 3.1% vs. 3.1% in Jan. - Core CPI (year over year): 3.7% vs. 3.9% in Jan. - Thursday, March 14 - Feb. [Producer Price Index]( report - PPI (month to month): 0.3% vs. 0.3% in Jan. - Core PPI (month to month): 0.2% vs. 0.5% in Jan. - PPI (year over year): 1.1% vs. 0.9% in Jan. - Core PPI (year over year): N/A vs. 2% in Jan. - Jan. [Business Inventories]( (month to month): 0.3% vs 0.4% in Dec. - Feb. [Retail Sales]( (month to month): 0.7% vs. -0.8% in Jan. - [Initial Unemployment Insurance Claims]( report for the week ended March 9: N/A vs. N/A for the week ended March 2 - Friday, March 15 - Feb. [Capacity Utilization]( 78.3% vs. 78.5% in Jan. - Feb. [Industrial Production]( (month to month): -0.1% vs. -0.1% in Jan. - March University of Michigan Index of Consumer Sentiment: 77.8 vs. 76.9 in Feb. All consensus estimates are sourced from FactSet. Investor Relations Weekly Calendar: Highlighted Corporate Earnings and More - Monday, March 11 Corporate Earnings: Oracle [ORCL]( - Thursday, March 14 Corporate Earnings: Adobe [ADBE]( - Friday, March 15 Corporate Earnings: Groupon [GRPN]( For The Trading Week Ended March 8: - The Morningstar US Market Index fell 0.23%. - The best-performing sectors were utilities, up 3.35%, and basic materials, up 1.51%. - The worst-performing sector was consumer cyclical, down 2.44%. - Yields on 10-year US Treasury notes fell to 4.08% from 4.19%. - West Texas Intermediate crude prices fell 3.76% to $77.86 per barrel. - Of the 704 US-listed companies covered by Morningstar, 398, or 57%, were up, while 306, or 43%, were down. Which Stocks Are Up? The RealReal [REAL]( Coinbase [COIN]( Macy’s [M]( Hewlett Packard [HPE]( and Avangrid [AGR](. Which Stocks Are Down? Sabre [SABR]( Thor Industries [THO]( Nordstrom [JWN]( Albemarle [ALB]( and SoFi Technologies [SOFI](. And Don't Miss: - [Is the Stock Market Expensive Right Now?]( - [7 Top-Performing Stocks to Buy Now]( - [The Optimists Were Right About FANG Stocks]( - [3 Stocks to Sell and 3 Stocks to Buy in March]( - [13 Undervalued Stocks That Just Raised Dividends]( Did a friend forward this email? You can [sign up for free here](. ADVERTISEMENT [media]( [media] [Undervalued by 17% and Yielding More Than 4%, This Dividend Stock Is a Buy]( [Undervalued by 17% and Yielding More Than 4%, This Dividend Stock Is a Buy]( A cheap stock from a narrow-moat company whose growth prospects are underappreciated. Andrew Bischof [Get Stock Pick]( Share: [facebook]( [twitter]( [linkedin]( [10 Stocks With the Largest Fair Value Estimate Increases After Q4 Earnings]( [10 Stocks With the Largest Fair Value Estimate Increases After Q4 Earnings]( Nvidia and Carlyle Group saw the largest valuation bumps among US-listed stocks covered by Morningstar analysts. Bella Albrecht [Why This Top Tech Fund Manager Doesn’t Own Nvidia Stock]( [Why This Top Tech Fund Manager Doesn’t Own Nvidia Stock]( Fidelity International’s HyunHo Sohn believes AI has great long-term potential, but that there are more attractively priced ways to play the trend. Jocelyn Jovène [7 Top-Performing Stocks to Buy Now]( [7 Top-Performing Stocks to Buy Now]( Alphabet, Wayfair, and Lyft are among the stocks that are posting big gains but remain undervalued. Diana Anghel [Is the Stock Market Expensive Right Now?]( [Is the Stock Market Expensive Right Now?]( Everything investors need to know about frothy stock valuations, and why they may not be so bad. Sarah Hansen [3 Cheap Stocks to Buy That the Best Value Managers Own]( [3 Cheap Stocks to Buy That the Best Value Managers Own]( These undervalued stocks appear in the portfolios of highly rated large-cap value funds. Susan Dziubinski [10 Best Value Stocks to Buy for the Long Term]( [10 Best Value Stocks to Buy for the Long Term]( The stocks of these high-quality companies look cheap today. Margaret Giles [The Optimists Were Right About FANG Stocks]( [The Optimists Were Right About FANG Stocks]( And the growth-stock skeptics were very, very wrong. John Rekenthaler [13 Undervalued Stocks That Just Raised Dividends]( [13 Undervalued Stocks That Just Raised Dividends]( DuPont, NextEra Energy, and Quest Diagnostics are among the cheap stocks with big dividend increases in February. Tom Lauricella [What Is the Mystery Warren Buffett Stock?]( [What Is the Mystery Warren Buffett Stock?]( Our seven best guesses on what stock Berkshire bought. Carole Hodorowicz [3 Warren Buffett Stocks to Own Forever]( [3 Warren Buffett Stocks to Own Forever]( Berkshire Hathaway’s chairman expects to hold these stocks indefinitely. Susan Dziubinski [3 of the Best Contrarian Investments Today]( [3 of the Best Contrarian Investments Today]( These sectors look unloved and undervalued. David Sekera, Susan Dziubinski [Proxy Season 2024: How to Act Like an Owner]( [Proxy Season 2024: How to Act Like an Owner]( The basics of proxy voting and Morningstar’s analysis of the themes and companies that will dominate this year. Leslie Norton [The Best Cyclical Stocks to Buy]( [The Best Cyclical Stocks to Buy]( These 10 undervalued consumer cyclical stocks look attractive today. Sbidag Demerjian [Albemarle Stock Plunges on Big Share Issuance. Is It a Buy?]( [Albemarle Stock Plunges on Big Share Issuance. Is It a Buy?]( The lithium producer surprised investors by announcing a $2.3 billion offering. Tom Lauricella [After Earnings, Is The RealReal Stock a Buy, a Sell, or Fairly Valued?]( [After Earnings, Is The RealReal Stock a Buy, a Sell, or Fairly Valued?]( With a debt overhang and a big jump in its stock price, here’s what we think of The RealReal. Sean Dunlop [After Earnings, Is Snowflake Stock a Buy, a Sell, or Fairly Valued?]( [After Earnings, Is Snowflake Stock a Buy, a Sell, or Fairly Valued?]( With earnings below expectations, here’s what we think of Snowflake stock. Eric Compton [After Earnings, Is Baidu Stock a Buy, a Sell, or Fairly Valued?]( [After Earnings, Is Baidu Stock a Buy, a Sell, or Fairly Valued?]( With the long-term potential of AI guiding forecasts, here’s what we think of Baidu stock. Kai Wang [After Earnings, Is Zscaler Stock a Buy, a Sell, or Fairly Valued?]( [After Earnings, Is Zscaler Stock a Buy, a Sell, or Fairly Valued?]( With continued top-line growth, here’s what we think of Zscaler stock. Malik Ahmed Khan [After Earnings, Is Salesforce Stock a Buy, a Sell, or Fairly Valued?]( [After Earnings, Is Salesforce Stock a Buy, a Sell, or Fairly Valued?]( With continued positive performance and a new dividend, here’s what we think of Salesforce stock. Dan Romanoff [10 Shareholder Rights You May Not Know You Have]( [10 Shareholder Rights You May Not Know You Have]( Everything from the right to dividends to the right to sue. Amy Arnott [10 Cheap Dividend-Growth Stocks to Buy]( [10 Cheap Dividend-Growth Stocks to Buy]( The stocks of these companies with a history of raising their dividends look undervalued today. Susan Dziubinski [Should Long-Term Investors Be 100% in Equities?]( [Should Long-Term Investors Be 100% in Equities?]( ‘Stocks for the long run’ at your own peril. Larry Swedroe [The Chip Shortage Is Mostly Over, but the Auto Industry Hasn’t Fully Recovered]( [The Chip Shortage Is Mostly Over, but the Auto Industry Hasn’t Fully Recovered]( GM stock remains cheap, but we no longer consider it a favorite. David Whiston [3 Dividend Stocks for March 2024]( [3 Dividend Stocks for March 2024]( The dividend prospects for three firms with economic moats. David Harrell Listen Now Get the latest investing insights and market updates with [Morningstar’s podcasts]( available on your iPhone, iPad, Android, PC, or smart speaker. Thanks for reading! 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