Finance

3 Magnificent S&P 500 Dividend Stocks Down 43%, 20%, and 53% to Buy and Hold Forever | The Motley Fool

Published

1 year ago

October 26, 2024

3 Magnificent S&P 500 Dividend Stocks Down 43%, 20%, and 53% to Buy and Hold Forever | The Motley Fool

The market is overlooking the bigger picture for these three names. That means opportunity for you.

Like bargains? Need dividends? No problem. Several of the S&P 500‘s stocks fit both bills at this time, with a bunch of them boasting the makings of a true “forever” holding. Here’s a rundown of three of these best bets right now.

Pfizer

There’s no denying that Pfizer (PFE -0.66%) isn’t quite the pharmaceutical powerhouse it used to be. The loss of patent protection on its blood thinner Lipitor in 2011 was a blow it never quite got over, but it would also be naïve to believe the company’s research and development (R&D) and acquisitions are as strong now as they were in the past. The drugmaking business has also seemingly become even more competitive in the meantime.

That’s why, after a burst of bullish brilliance during and because of the COVID-19 pandemic (Pfizer’s Paxlovid was an approved treatment), this stock’s peeled back 53% from its late 2021 peak.

The long-awaited winds of change are finally blowing, even if in a way that feels more disruptive than helpful. Activist investor Starboard Value is shaking the chains, so to speak, calling Pfizer out for its failures on the drug-development front and the acquisition front. Starboard specifically points out that 2023’s $43 billion acquisition of oncology company Seagen has yet to show meaningful benefit given its high cost, and adds that Pfizer’s failed to turn the 15 drugs it was touting as potential blockbusters in 2019 into those major moneymakers.

In CEO Albert Bourla’s defense, the coronavirus contagion slowed R&D for most pharmaceutical companies, if only by complicating the logistics of drug trials. Nevertheless, Starboard makes several fair points.

But what does this mean for current and prospective shareholders? While it’s typically better when any organization recognizes its own weaknesses and implements much-needed changes, Starboard Value’s involvement should still drive this overdue overhaul.

Nothing about this drama changes anything about Pfizer’s dividend, by the way. It’s not only paid one every quarter like clockwork for years now, it’s also raised its net annual payment for 15 years in a row. This streak isn’t in any real jeopardy, either.

Newcomers will be plugging into the stock while its forward-looking dividend yield stands at 5.8%.

Realty Income

There’s a decent chance you’ve never heard of Realty Income (O -3.16%). Don’t let its lack of notoriety fool you. This $55 billion S&P 500 constituent is here to stay, and thrive.

Realty Income is a landlord. It’s structured as a real estate investment trust, or REIT. REITs are investments that trade like stocks, but pass along the bulk of any rental profits generated by that REIT’s underlying real estate portfolio. It’s an easy way for investors to be in the rental real estate business without the usual hassle of buying, selling, finding tenants, and performing maintenance on a property.

There are all kinds of real estate investment trusts, ranging from office buildings to apartment complexes to hotels. Even by REIT standards, though, Realty Income is a bit unusual. Its specialty is retail space.

This potentially raises red flags. The brick-and-mortar retailing industry is largely on the defensive, contending with the rise of online shopping. Don’t be too rattled, though. Realty Income’s tenant list includes the likes of Walmart, FedEx, and Dollar General, just to name a few. These are major companies with staying power, in addition to their vested interest in staying put once they’ve established brick-and-mortar roots.

That’s what this REIT’s numbers say, anyway. Even with the COVID-19 pandemic picking off retailers en masse in 2020, Realty Income’s occupancy for the year held at 97.9%.

Those aren’t the only numbers that make a strong bullish argument for owning this dividend payer that’s currently yielding (on a forward-looking basis) just under 5%. Not only has Realty Income paid a dividend every month — yes, a monthly dividend — for the past 54 years, it has also raised its payouts every quarter for the past 27 years.

Franklin Resources

Last but not least, add Franklin Resources (BEN 0.69%) to your list of S&P 500 dividend stocks to buy. It’s down 43% from its 2021 post-pandemic peak, and lower by a whopping 65% from its record high reached in late 2013. That weakness has pumped its forward-looking dividend yield up to a healthy 6%.

Investors may be more familiar with the outfit than they realize. This is the company behind Franklin Templeton mutual funds, although it operates several other profit centers beyond the Templeton brand. Technological solutions, alternative lending, and real estate are all within its wheelhouse.

Anyone who’s kept tabs on this company likely knows that it hasn’t always been a stellar performer. While certainly respected within the investment management industry, Franklin struggled to hold on to investors’ money in 2015 and 2016. You may recall that the market had been soaring for some time then, and investors were looking for performance beyond what this investment manager could offer.

Much has changed since then, however. Namely, through a few strategic acquisitions like last year’s purchase options-trading technology company volScout, this mutual fund giant can now deliver more of what investors — individual as well as institutional — are clamoring for.

It’s not exactly easy to see the upside yet. The 2022 bear market that followed the pandemic’s wind-down has made it difficult to determine exactly how much business this company should be doing, and how much profit it should be producing. It’s only easy to see that profit margins still appear to be crimped right now.

Even so, the investment management’s dividend has grown every year for the past 44 years. Given that the bulk of its revenue is driven not by its funds’ performances but by fees based on a percentage of the assets it’s managing, the cash flow it needs to maintain these payments is actually rather secure.

Finance

Reilly Barnes Returns to Little League® as Purchasing/Finance Assistant

Published

7 hours ago

April 21, 2026

Press Room

Reilly Barnes Returns to Little League® as Purchasing/Finance Assistant

Little League® International has announced that Reilly Barnes accepted a new role as Purchasing/Finance Assistant, effective April 6, 2026. Barnes transitions from a temporary Purchasing Assistant to this full-time position to assist in the year-round demands of purchasing for the organization, as well as the region and Little League Baseball and Softball World Series tournaments.

“We are thrilled to welcome back Reilly to our team as a full-time Purchasing/Finance Assistant. Reilly’s prior experience, time management, and attention to detail make him an invaluable asset to the purchasing team,” said Nancy Grove, Little League Materials Management Director. “We look forward to the positive contributions he will have on our organization.”

In this role, Barnes will be responsible for processing purchase requisitions, coordinating souvenir products, and tracking order fulfillment. He will also assist with evaluating suppliers, reviewing product quality, and negotiating contracts for effective operations.

After most recently working as a Logistician Analyst at Precision Air in Charleston, South Carolina, Barnes, a Williamsport native, returns after honing his skills in the fast-paced environment. Prior to his time at Precision Air, Barnes served as a Procurement Specialist at The Medical University of South Carolina, where his expertise and knowledge were instrumental in supporting both education and healthcare needs.

“I am thrilled to return to Little League in this full-time role,” said Barnes. “Coming back to my hometown and having the opportunity to work for an organization that has played such a special part of my upbringing means a lot. I can’t wait begin this new opportunity.”

Barnes graduated from the University of Pittsburgh in 2022 with a B.A. in Supply Chain Management, Finance, and Business Analytics.

Finance

Why this sleepy Swiss town has become a ‘bolt-hole’ for the Gulf elite

Published

20 hours ago

April 20, 2026

Press Room

Why this sleepy Swiss town has become a ‘bolt-hole’ for the Gulf elite

As conflict continues to destabilise the Middle East, the Gulf States elite are seeking solace in European alternatives that offer comparable financial benefits with a far lower risk of war on the doorstep. One such destination is the small Swiss town of Zug, which is becoming a “bolt-hole” for Gulf-based wealth, said the Financial Times.

‘Swiss Monaco’

Switzerland’s reputation as a magnet for the world’s financial elite is nothing new. In 2025, the country recorded the “densest concentration of millionaires” with an estimated 146 per 1,000 adults last year, said The Times. Now home to around 135,000 people, Zug’s canton – also named Zug – used to be the “poorest corner of Switzerland” until it lowered its tax rates in the 1950s. “Now it has corporate tax rates of 16.2% compared with 40% in the US and 33.3% in France.”

“In almost all ways Zug is unremarkable”, with its traditional Swiss architecture and cobbled waterfront lanes. But if its “Alpine lake water is clear”, the financial scene is more “murky”. Many credit Marc Rich and Pincus “Pinky” Green, founders of metals and minerals trading firm Glencore, with the transformation of Zug from a “Swiss backwater” to its status as the “Swiss Monaco”. The multinational is headquartered just outside Zug, and has made the town a “global powerhouse for trading crude and refined oil products”. It should be “no surprise” that the “1% of the world’s 1%” are taking shelter there, and at the same time, hoping to still “keep a hand in the oil business”.

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“Industry estimates suggest that tens of billions of dollars could flow into Switzerland depending on how the current conflict evolves,” said the Outbound Investment Group. The “immediate trigger” for the “surge in interest” from Gulf-based investors is the war in the Middle East. However, Switzerland’s underlying appeal is its unwavering “Swissness”: “political neutrality”, “strong legal frameworks”, and reputation for wealth preservation. It’s a safe bet with no sign of slowing.

‘Availability tightening’

There are some drawbacks, said the FT. For “would-be arrivals”, the appeal of the region for Middle Eastern residents comes with “practical constraints”. Those outside the EU “face a higher bar”. Usually, the condition of residency is “tied” to employment or company formation. For the “very wealthy”, there is the added option of “negotiated lump-sum taxation agreements with cantonal authorities” that allow individuals to “pay a flat annual tax based on living expenses rather than global income”.

Even if they are holders of EU passports, the “main bottleneck” is the availability of property. Competition is “intense” and “rental supply is extremely limited, with properties often snapped up within days”. With Zug’s “availability tightening”, other cantons in the region with similar tax arrangements could benefit, such as Lugano, an Italian-speaking city in the Ticino region.

The uncertainty of the duration of the conflict is one of the most pressing concerns, said Bloomberg. The recent breakdown of ceasefire talks risks “forcing a reckoning for the professional and expat classes considering options after putting down roots in the Middle East”.

The short-term benefits of physical safety from leaving the Gulf are clear, but changing tax residency “takes time” and practicalities such as finding schools and “conforming to national requirements such as opening local bank accounts” is often “complicated and time-consuming”. The region’s ultra-wealthy are facing “uncomfortable decisions on whether to make the move permanent, especially with the end of the school year in sight”.

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Finance

How much will Social Security go up next year? See latest forecast

Published

1 day ago

April 20, 2026

Press Room

How much will Social Security go up next year? See latest forecast

Before Social Security payments are posted this week, many retirees are looking ahead at the potential Cost of Living Adjustment for 2027 with an advocacy group predicting a similar increase to 2026.

On April 10, The Senior Citizens League — a nongovernmental advocacy group for seniors — released its monthly COLA forecast for 2027, saying data showed a 2.8% increase is likely.

“Over the last seven weeks, crude oil prices have soared, and fuel prices have followed suit. Consumers are getting pinched at the pump as gas prices soar, while businesses are paying more for transportation and/or production costs. This energy price shock is beginning to show up in the monthly U.S. inflation report, and it’s having a tangible impact on 2027 COLA forecasts,” The Motley Fool, a financial and investing advice company, and USA TODAY content partner, reported on April 18.

The official announcement will come in October, as it’s based on third-quarter inflation data.

According to Consumer Price Index data published last week, the annual inflation rate reached a two-year high of 3.3%, up 0.9% over the last month. This is largely due to soaring oil prices caused by the war in Iran.

Social Security payments are always scheduled on Wednesdays, with the final wave of this month scheduled for April 22, according to the Social Security Administration. The schedule is based on the birth dates of the recipients — retired, disabled workers or survivors.

Here’s who will get a Social Security check this week and more on the 2027 COLA forecast:

When is the final Social Security in April 2026?

Social Security benefits are sent out based on the recipients’ birth dates. Wednesday, April 22, is the final wave of payments for those with birth dates between the 21st and the 31st of April.

What is the 2027 COLA forecast?

The 2027 COLA increase is forecast to be 2.8% due to continuing inflation prices, according to The Senior Citizens League’s April 10 press release. If the SSA approves that rate of increase, average payment for retired workers would go up by $56 per month in January 2027.

The SCL releases a COLA prediction each month based on the Consumer Price Index, Federal Reserve interest rate and the National Unemployment rate from the U.S. Bureau of Labor Statistics.

Beneficiaries who want to stay updated with the monthly predictions may visit the SCL’s “COLA Watch” webpage that includes the forecast, calculations, historical trends and more.

The official COLA increase for 2027 will be announced in October 2026.

What were the big Social Security changes in 2026?

At the beginning of 2026 recipients received a 2.8% COLA for Social Security and Supplemental Security Income (SSI) payments, according to the SSA’s COLA Fact Sheet and American Association of Retired Persons, increasing payments about $56 per month.

Here are more details on the 2026 COLA increase, per the SSA:

The maximum amount of earnings subject to the Social Security tax increased to $184,500.
The earnings limit for workers who are younger than full retirement age (67 years old) increased to $24,480. (There will be a $1 deduction for each $2 earned over $24,480.)
The earnings limit for people reaching their full retirement age in 2026 increased to $65,160. (There will be a $1 deduction for each $3 earned over $65,160, until the month the worker turns full retirement age.)
There is no limit on earnings for workers who are at full retirement age or older for the entire year.

What should I do if I don’t get my Social Security payment?

According to the SSA, if you don’t receive your payment on the scheduled date, wait three days additional days, then call their office.

Where are the Social Security offices in Michigan?

There are 48 offices in Michigan, and to find an office near you, recipients may use the office locator via the Social Security’s website by entering your zip code for office hours, numbers, available services and more.

How can I replace my Social Security card?

The personal account, “my Social Security” allows recipients to manage their personal records, including a request for a replacement Social Security card and benefit statements for taxes and more. New accounts are created using ID.me or Login.gov as a multifactor authentication.