Transportation Stocks Reviving Dividend Hikes: 3 Solid Picks
Zacks Investment Research | Jul 01, 2021 01:05AM ET
It is no secret that stocks in the widely-diversified transportation sector were one of the worst hit last year due to the coronavirus pandemic. With revenue stream dwindling, companies belonging to various corners of the sector resorted to a slew of cost-cutting measures including furloughs, layoffs and reduction in discretionary expenses as they battled to fend off the liquidity crisis.
Notably, the coronavirus-triggered economic mayhem dented the financial stability of many companies with transportation companies being no exception. Due to the bleak demand scenario, some of the sector participants resorted to dividend reductions or deferrals of dividend payments. For example, management at DHT Holdings (NYSE:DHT) Transportation sector that has risen 8.2% year to date.
Notably, investors always prefer an income-generating stock. Hence a high dividend-yielding one is obviously much coveted. Needless to add that stockholders are always hunting players with consistent and incremental dividend history to park their money in.
h3 3 Stocks to Buy Now/h3In view of the bullish scenario as mentioned above, we present three transportation companies that announced dividend hikes recently and represent excellent investment opportunities. The companies not only carry a Zacks Rank #1 (Strong Buy) or 2 (Buy), currently, but also have been witnessing favorable earnings estimate revisions over time. You can see Zacks Investment Research
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