An Opportunity Where the Market Is Still Cheap
The market continues to yawn off worries about tariffs, government shutdowns or anything else. After spending most of the summer making a series of new highs, it’s been more of the same so far this fall.
Why shouldn’t the market keep going higher? We are in a Fed rate-cutting cycle. The economy is nowhere near recession and gaining traction. And the artificial intelligence catalyst is driving earnings projections through the roof in the market’s largest sector.
The drawback is that the market is high-priced. The S&P 500 price/earnings ratio is now over 30. It has only ever been this high during the dot.com bubble in 2000, aside from brief aberrations. Technology stocks have driven this market higher over the past year, as has been the case through most of this bull market.
But of course, technology has never accounted for more than a third of the S&P index before and the high prices in that sector are somewhat justified by huge growth from the once-in-a-generation AI catalyst. And not all stocks are having a great year. In fact, five of the 11 S&P 500 sectors have had a negative return over the past year.
Despite the impressive performance of the overall market over the last few years, there are still bargains to be found. For example, the real estate sector struggled during inflation and rising interest rates and has been the worst-performing market sector over the last five years. Performance is also among the worst over the past one- and three-year periods.
Healthcare has floundered all year because of uncertainty regarding tariffs and new pricing policies from Washington. It has been the second-worst-performing market sector over the last year with a -5.34% return versus a return of 17.6% for the S&P over the same period.
But things are turning around in both beleaguered sectors. The Fed started cutting the fed funds rate again in September and two more cuts are expected this year. The benchmark 10-year Treasury rate has fallen well off the high and is near the lowest levels of the past year. Lower rates benefit REITs as they borrow money to expand. If rates continue to trend lower, it will reverse the issue that caused the selloff.
The long-anticipated issues in the healthcare industry have revealed themselves. And it doesn’t seem nearly as bad as feared. The tariffs on drugs were announced but came with exceptions for companies building plants in the U.S. Also, Pfizer (PFE) made a deal with the Trump administration that has led to a common perception that other drug companies can reduce prices with far less damage than feared. As a result, healthcare stocks had the strongest weekly rally in more than 20 years. It appears at this point that many healthcare companies will be able to navigate these issues with minimal damage, and the sector can make up for lost time.
In this issue, I highlight a REIT that specializes in healthcare properties. It has a stellar track record of performance and has among the fastest earnings growth among REITs. It also pays a strong dividend yield and will likely benefit in the months ahead from a rally in either sector.
What to Do Now
Utility stocks have taken off. The AI data center-driven electricity trade has gotten hot again, and utilities are a natural beneficiary. All three portfolio utility stocks including American Electric Power (AEP), NextEra Energy (NEE), and Constellation Energy (CEG) are very near the 52-week highs after a strong couple of weeks.
AEP and NEE are “BUY” rated and should have further to go. CEG is still rated hold as it is beyond the ideal buy price having already returned over 60% YTD. NEE appears to have finally broken out of the range it was stuck in for most of this year. It should have further to run in the weeks ahead.
There was also big news about healthcare last week. Healthcare stocks were among the worst-performing sectors in the market all year. The reason was because of fears regarding tariffs and pricing from the administration. Most stocks in the sector were unable to muster lasting upside traction without more clarity on those issues. It looks like that clarity finally came last week. And the results were better than expected.
President Trump had announced 100% tariffs on imported drugs but granted an exemption for pharmaceutical companies building plants in the U.S. Both Eli Lilly (LLY) and AbbVie (ABBV) are investing heavily in this country and qualify for the exemption. Later in the week Pfizer made a deal with the government to reduce prices and comply with the Most Favored Nation pricing, which aligns U.S. drug prices with overseas prices.
Pfizer’s deal included offering discounts to Medicaid as well as online customers for TrumpRX. The deal that the administration seems to have accepted involves offering discounts to far fewer customers than previously feared. The pricing is also being offset by increased prices overseas. The perception is that these issues are clarifying in a way that is a much better outcome for drug companies than anticipated. As a result, healthcare stocks rallied 8.3% last week, the best week for the sector in more than 20 years.
As a result, ABBV is upgraded to a “BUY” this week. The stock had already crept back to a new high despite the uncertainty. AbbVie is moving well beyond the Humira patent loss, which had been holding ABBV back.
Recent Activity
October 8
Buy CareTrust REIT, Inc. (CTRE)
AbbVie (ABBV) – Rating change – “HOLD” to “BUY”
Featured Action
CareTrust REIT, Inc. (CTRE)
Security type: Real Estate Investment Trust (REIT)
Sector: Healthcare
Price: $35
52-week range: $24.79 - $35.68
Yield: 3.8%
Profile: CareTrust is a rapidly growing healthcare REIT that owns and acquires skilled nursing, seniors housing, and other healthcare-related properties.
Positives
- Demand for senior facilities is rapidly growing against limited supply as the population ages.
- CTRE has been one of the best performing REITs of its kind and growth is accelerating.
- REITs have underperformed for several years and should make up for lost time as the Fed cuts interest rates.
Risks
- CTRE has already had a strong upside move and is expensive compared to other REITs.
- It’s growing aggressively in new markets that are unproven.
Buy CareTrust REIT, Inc. (CTRE)
CareTrust is a healthcare REIT that owns and acquires skilled nursing, seniors housing, and other healthcare-related properties. The REIT primarily leases to 46 different operators and currently has 581 properties in 34 states and the United Kingdom.
Skilled nursing facilities provide 24-hour medical care and rehabilitation services to patients who require assistance with activities of daily living and complex medical treatment. Senior housing refers to a wide range of housing options for older adults, from maintenance-free living to highly specialized care and everything in between. Other properties include medical office space and other facilities.
The property portfolio breakdown by percentage of overall rent collected in the first half of 2025 is as follows:
- Skilled Nursing 51.2%
- U.K. Care Homes 14.7%
- Multi-service campuses 10.4%
- Senior Housing 3.7%
About 80% of the properties are operated under net lease agreements, whereby the tenant is responsible for all maintenance and costs including insurance and utilities. That makes the income stream highly predictable.
Of course, there are several REITs that own and operate similar facilities. But CareTrust stands out among its peers. It has the highest rent coverage among its peers at 2.7 times. It is also consistently well above the peer average in metric star rating and quality measures. It’s also financially solid with low debt levels, with net debt/EBITDA of 0.5 times compared to the peer average of 5.1 times.
The strong relative performance has been reflected in the stock performance.
| 1 year | 3 years | 5 years | 10 years | |
| CTRE | 19% | 123% | 136% | 430% |
| S&P 500 | 18% | 87% | 100% | 306% |
| VNQ | -2% | 9% | 35% | 79% |
CTRE has outperformed both the overall market and the benchmark Vanguard Real Estate Index Fund ETF (VNQ) in every measurable period over the last 10 years. It has also outperformed the vast majority of other healthcare REITs over the same periods.
But that’s in the past. What matters is how CTRE performs going forward. And future potential is the chief reason why CTRE is highlighted. There are two primary reasons it’s worth buying. One, it is a well-run REIT with a strong balance sheet and solid metrics at a time when REITs are cheap and have a good chance of outperforming other sectors going forward. Two, CareTrust has a much higher level of earnings growth than other REITs.
In 2024, CareTrust made $1.4 billion in investments in a total of 172 new properties. That’s seven times the average investment level since inception. In fact, from 2021 through 2024, CareTrust’s net investments increased 84% compared to the peer average increase of just 18% over the same period.
The new properties propelled revenues to grow 58.4% in the first six months of this year. Normalized funds from operations (FFOs) per share have grown at a strong 20% clip and the dividend increased 15.5% in the first half of the year. That’s why CTRE returned 35% YTD through September.
The expansion continues. In the second quarter of this year, CareTrust acquired Care REIT Plc, a U.K. healthcare REIT specializing in senior care facilities. The U.K. acquisition provides 132 care homes with 26 operators. All properties are covered with triple net lease agreements with an average lease of 20 years. It gives CareTrust exposure and expansion opportunities in the highly fragmented U.K. market which has very limited supply and high demand. The deal is expected to yield an estimated $68.6 million in annual rental income.
The REIT reiterated 2025 in the most recent quarterly report. Management estimates 30.4% revenue growth, 79% net income growth, and an 18% increase in FFO per share. That’s sensational growth for a conservative investment with a beta that is lower than the overall market.
The Dividend
No discussion of a REIT would be complete without the dividend, which are among the highest in any market sector. As a REIT, CareTrust pays no income tax at the corporate level provided the bulk of earnings are paid out in the form of dividends. They usually have a higher payout because of money available that is normally lost to taxes.
The current quarterly dividend of $0.335 per share, raised earlier this year by 15.5% from $0.29, translates to a solid 3.82% yield at the current price. While that’s certainly a healthy payout in today’s market, there’s also a compelling story for dividend growth. The dividend has been raised for 11 consecutive years and the quarterly payout has more than doubled over the past 10 years.
The dividend carries a 79% payout ratio, which is a little better than the average for a REIT. CareTrust also has rising cash flows and low debt ratios, with no debt coming due until 2028. Revenues are secured with long-term net leases and only 4.6% of those leases come up for renewal before 2031. It’s a secure and rising dividend. And stocks that consistently grow the dividend are historically the best-performing group in the market.
Senior properties are in growing demand as the population ages at warp speed. But the supply isn’t keeping up. There were actually 62,567 fewer nursing home beds in 2024 than there were in 2020. At this point, 46% of nursing homes in the U.S. have limited the amount of new admittance they are accepting. The market also remains highly fragmented.
CareTrust REIT, inc. (CTRE)
Next ex-div date: December 31, 2025, est.
Portfolio Recap
High Yield Tier | ||||||||||
| Security (Symbol) | Date Added | Price Added | Div Freq. | Indicated Annual Dividend | Yield On Cost | Price on Close 10/06/25 | Total Return | Current Yield | CDI Opinion | Pos. Size |
| AGNC Investment Corp. (AGNC) | 9/11/24 | 10 | Qtr. | 1.44 | 14.20% | 10 | 14% | 14.60% | HOLD | 1 |
| Cheniere Energy Partners, L.P. (CQP) | 11/13/24 | 52 | Qtr. | 3.27 | 6.70% | 53 | 7% | 6.10% | BUY | 1 |
| Enterprise Product Partners (EPD) | 2/25/19 | 28 | Qtr. | 2.18 | 7.60% | 31 | 82% | 6.90% | BUY | 1 |
| Main Street Capital Corp. (MAIN) | 3/13/24 | 46 | Monthly | 4.26 | 9.00% | 62 | 53% | 6.80% | HOLD | 1 |
| The Williams Companies, Inc. (WMB) | 8/10/22 | 33 | Qtr. | 2 | 5.80% | 64 | 124% | 3.10% | BUY | 1 |
| Current High Yield Tier Totals: | 9.00% | 56% | 7.50% | |||||||
Dividend Growth Tier | ||||||||||
| AbbVie (ABBV) | 1/28/19 | 78 | Qtr. | 6.56 | 8.40% | 230 | 297% | 2.80% | BUY | 1 |
| Ally Financial Inc. (ALLY) | 12/11/24 | 38 | Qtr. | 1.2 | 3.20% | 40 | 6% | 3.00% | HOLD | 1 |
| Broadcom Inc. (AVGO) | 1/14/21 | 46 | Qtr. | 2.36 | 4.60% | 335 | 723% | 0.70% | HOLD | 1 |
| Cheniere Energy, Inc. (LNG) | 7/10/24 | 175 | Qtr. | 2 | 1.10% | 233 | 35% | 0.90% | BUY | 1 |
| Constellation Energy Corp. (CEG) | 8/14/24 | 186 | Qtr. | 1.55 | 1.00% | 364 | 97% | 0.40% | HOLD | 1 |
| Eli Lilly and Company (LLY) | 8/12/20 | 152 | Qtr. | 6 | 3.90% | 845 | 489% | 0.70% | BUY | 1 |
| Fidelity National Financial, Inc. (FNF) | 7/9/25 | 55 | Qtr. | 2 | 3.60% | 58 | 6% | 3.40% | BUY | 1 |
| McKesson Corporation (MCK) | 10/11/23 | 457 | Qtr. | 3.28 | 0.60% | 741 | 64% | 0.40% | HOLD | 1 |
| Oracle Corporation (ORCL) | 5/14/25 | 162 | Qtr. | 2 | 1.20% | 292 | 79% | 0.70% | HOLD | 1 |
| Toll Brothers, Inc. (TOL) | 10/9/24 | 151 | Qtr. | 1 | 0.60% | 141 | -6% | 0.70% | HOLD | 1 |
| Waste Management, Inc. (WM) | 3/12/25 | 223 | Qtr. | 3.3 | 1.50% | 218 | -1% | 1.50% | BUY | 1 |
| Current Dividend Growth Tier Totals: | 2.70% | 162% | 1.40% | |||||||
Safe Income Tier | ||||||||||
| American Electric Power Co. (AEP) | 8/13/25 | 113 | Qtr. | 3.72 | 3.30% | 116 | 2% | 3.20% | BUY | 1 |
| NextEra Energy (NEE) | 11/29/18 | 44 | Qtr. | 2.27 | 4.70% | 82 | 120% | 2.80% | BUY | 1 |
| U.S. Bancorp Depository Shares (USB-PS) | 10/12/22 | 19 | Qtr. | 1.13 | 6.10% | 20 | 26% | 5.60% | BUY | 1 |
| Vanguard LT Corp. Bd. Fd. (VCLT) | 1/11/23 | 80 | Monthly | 3.6 | 4.50% | 77 | 10% | 5.40% | BUY | 1 |
| Current Safe Income Tier Totals: | 5.10% | 40% | 4.20% | |||||||
AGNC Investment Corporation (AGNC – yield 14.6%) – The mortgage REIT spiked higher at the beginning of September and then gave it all back later in the month. Despite the bounciness, AGNC is still in an uptrend that began in April. AGNC had a rough few years during inflation and rising rates. But this Fed rate-cutting cycle should get the price moving higher. Lower short-term rates will lower costs for AGNC and raise profit margins. Lower rates will also have a positive effect on net asset value (NAV), which tends to dictate the stock price. The price is back on the trend line established in the spring after the spike and pullback. Hopefully this is just the beginning of a sustained rally. HOLD
AGNC Investment Corp. (AGNC)
Next ex-div date: October 31, 2025
Cheniere Energy Partners, L.P. (CQP – yield 6.1%) – The natural gas liquids exporter has come up from the recent low but is still near the low price for 2025. Natural gas prices have fallen and taken CQP lower with it. Increased production and a weaker global economy belie the price decline. But the high payout is safe, and the price weakness is likely a temporary issue. Earnings were solid and the partnership reiterated guidance for the year. Meanwhile, the new deal with the EU features Europe buying $750 billion worth of U.S. energy in three years, the bulk of which will be natural gas. The longer-term situation is strong, and the yield is safe in the meantime. (This security generates a K1 form at tax time.) BUY
Cheniere Energy Partners (CQP)
Next ex-div date: November 7, 2025, est.
Enterprise Product Partners (EPD – yield 6.9%) – The midstream energy partnership is having a sluggish year compared to the past several years. EPD has returned just 4% YTD. Energy has been weak this year and a consolidation in the midstream space was probably due. But things are about to get better. Enterprise has $6 billion in new projects coming online in the second half that are sure to boost growth. In addition, the trade deal with Europe should ensure high NGL volumes for years to come. EPD is a great buy while it’s still sleeping (with a big fat yield) ahead of likely better days. (This security generates a K1 form at tax time.) BUY
Enterprise Product Partners (EPD)
Next ex-div date: October 31, 2025, est.
Main Street Capital Corporation (MAIN – yield 6.8%) – This BDC, which makes high-interest loans and takes equity stakes in promising small companies, has been a strong performer. It has returned 53% since being added to the portfolio in March of 2024 and has returned 11% YTD. It has more resilience than most BDCs because the equity stakes enable it to benefit from the positive market. Earnings were strong after the BDC recorded the largest capital gain in its history upon the sale of equity stakes. MAIN has been trending higher since April, although it has been bouncier over the past couple of months. HOLD
Main Street Capital Corp. (MAIN)
Next ex-div date: October 8, 2025
The Williams Companies, Inc. (WMB – yield 3.1%) – This midstream energy stock got a nice bump over the past few weeks. Williams has a resilient business that should continue to generate reliable revenue and earnings growth in just about any kind of environment. It also pays a solid dividend. WMB would be a good holding with the market at the high under normal circumstances. But these aren’t normal circumstances. Huge demand growth for natural gas from utilities and exporters adds a growth catalyst that isn’t reflected in the historical performance of the stock. That’s why WMB has returned over 20% YTD in a lackluster year so far for most midstream energy companies. BUY
Williams Companies, Inc. (WMB)
Next ex-div date: December 12, 2025, est.
Rating change – “HOLD” to “BUY”
AbbVie (ABBV – yield 2.9%) – The long-anticipated issues in the healthcare industry have revealed themselves. And it doesn’t seem nearly as bad as feared. The tariffs on drugs were announced but came with exceptions for companies building plants in the U.S. Also, the Pfizer (PFE) deal has led to a common perception that other drug companies can reduce prices with far less damage than feared. It appears that AbbVie will be able to navigate these issues with minimal damage, and the stock soared to a new high last week.
ABBV has now returned over 32% YTD. Meanwhile, the company itself is doing great. Newer immunology drugs Skyrizi and Rinvoq have combined revenues that already exceed peak Humira sales when it was the best-selling drug of all time. The company is moving well beyond the Humira patent loss, which had been holding ABBV back. ABBV had crept back to a new high even with far less clarity on pricing and tariff issues because of the strong post-Humira-cliff prospects. It should make up for lost time in the quarters ahead and is upgraded to a BUY. BUY
AbbVie Inc. (ABBV)
Next ex-div date: October 15, 2025
Ally Financial Inc. (ALLY – yield 3.0%) – Like several interest rate-sensitive stocks, ALLY rallied in September up until the Fed rate cut and then gave it all back and then some after the fact. The rate cuts are positive for this online banker as it deals primarily with car loans and lower rates tend to increase affordability, which should result in higher loan demand if the economy doesn’t weaken too much. It appears that investors sold the news when the rate cut happened. But we are still in a rate-cutting cycle and ALLY should continue to benefit going forward. HOLD
Ally Financial Inc. (ALLY)
Next ex-div date: November 3, 2025, est.
Broadcom Inc. (AVGO – yield 0.7%) – After surging another 24% in the first 10 days of September, this AI juggernaut has lost some of that gain and has been leveling off. Broadcom reported earnings that soundly beat expectations. The company also announced the signing of another huge customer for its custom AI chip, rumored to be OpenAI, with another $10 billion in revenue projected. It’s hugely positive news for the stock and, along with the recent Oracle (ORCL) news, revitalized the floundering AI trade overall. But the AI trade has been floundering again over the last few weeks. Hopefully it’s just catching its breath. HOLD
Broadcom Inc. (AVGO)
Next ex-div date: December 22, 2025, est.
Cheniere Energy, Inc. (LNG – yield 0.8%) – The country’s largest exporter of natural gas has been going sideways for nearly six months. But trends in the industry are highly favorable. Cheniere reported stellar earnings with 43% revenue growth and an 85% net income increase over last year’s quarter on strong NGL demand and higher margins on its cargoes. Meanwhile, the framework of the EU deal involves Europe buying $250 billion in U.S. energy per year, a dramatic increase from here. Natural gas is the most demanded energy source, and Cheniere is the largest U.S. exporter of natural gas. Despite the good news, lower gas prices and a sluggish energy market are holding LNG back. But the future looks great. BUY
Cheniere Energy. Inc. (LNG)
Next ex-div date: November 10, 2025, est.
Constellation Energy Corporation (CEG – yield 0.5%) – The nuclear, and now natural gas, electricity-providing behemoth has gotten red-hot again. After a big summer surge, CEG pulled back for about five weeks but has been rocketing higher again over the last month. It just hit a new high last week and is now up 64% YTD. AI and the huge increase in demand for electricity is not going away and Constellation is in one of the very best positions to benefit. The company announced huge deals with Microsoft (MSFT) and Meta (META), and management indicated that more deals are likely on the way. HOLD
Constellation Energy Corporation (CEG)
Next ex-div date: November 18, 2025, est.
Eli Lilly and Company (LLY – yield 0.7%) – The same tariff and pricing issues as discussed with AbbVie are also benefiting Lilly and the stock has rocketed. It’s up 18% over the past seven sessions. Despite the recent move, it’s been a rough patch for this healthcare juggernaut. It’s still down 5.6% for the past year. But there are good reasons why LLY is still well worth owning. Lilly’s earnings results were spectacular. The company smashed expectations with 38% revenue growth and 91% net income growth over last year’s quarter. Lilly also raised guidance for the year. Existing weight-loss drugs, Mounjaro and Zepbound, are killing it with over $8 billion in combined revenue in the last quarter. With an estimated 30% of Americans overweight, there should be a strong runway for continued growth. BUY
Eli Lilly and Company (LLY)
Next ex-div date: November 17, 2025, est.
Fidelity National Financial, Inc. (FNF – yield 3.4%) – The title insurance company stock has levelled off since the recent peak in August. Fidelity should benefit from Fed rate cuts and hopefully a reduction in mortgage rates. Business is affected by the housing market as more home purchases result in more business. And the biggest impediment right now is high mortgage rates. FNF is around the highest price since the spring. But it will likely be range-bound until there is some significant improvement in the mortgage rate/housing market situation. Perhaps the situation will improve in the months ahead as the Fed continues to cut rates. BUY
Fidelity National Financial, Inc. (FNF)
Next ex-div date: December 16, 2025, est.
McKesson Corporation (MCK – yield 0.4%) – The supply chain pharmaceutical company has risen to a new all-time high after management raised profit guidance and long-term growth targets on Investor Day last month. McKesson raised its fiscal 2026 earnings forecast and raised long-term annual earnings growth targets to 13% to 16% from 12% to 14%. The forecasts provided more clarity and raised targets beyond what had been expected. The market liked it. MCK has pulled back a bit from the high in the past couple of weeks but is still up over 35% YTD as its market continues to grow all by itself because of the aging population. HOLD
McKesson Corporation (MCK)
Next ex-div date: December 1, 2025, est.
Oracle Corporation (ORCL – yield 0.7%) – This newfound AI powerhouse has pulled back 20% from the September high. It is likely consolidating after the remarkable one-day 36% surge after the earnings report. Future revenue projections have exploded. Revenue for its AI-infused Cloud infrastructure service grew 77% over last year’s quarter to $18 billion. But the company said it anticipated that revenue to grow to $144 billion by 2030. The 700% revenue growth by the end of the decade was not expected. Oracle also reported a massive backlog of potential customers for its services that grew to $455 billion from $130 billion two quarters ago. Soaring revenue is a very good reason for a stock price to soar. HOLD
Oracle Corporation (ORCL)
Next ex-div date: October 9, 2025
Toll Brothers, Inc. (TOL – yield 0.7%) – The homebuilder company stock has also pulled back from the recent peak early last month. But TOL has been moving higher again over the last couple of weeks. TOL rose as the housing market has improved and should improve even more if interest rates fall from here. The longer-term supply/demand dynamic for housing is hugely favorable to Toll Brothers as there aren’t nearly enough houses to satisfy the demand. The near-term impediment has been high mortgage rates. But those rates have moved lower, and the Fed is likely to cut the short-term rates more in the months ahead, which should put downward pressure on mortgage rates too. HOLD
Toll Brothers, Inc. (TOL)
Next ex-div date: October 10, 2025
Waste Management, Inc. (WM – yield 1.5%) – The price of this garbage giant stock has been sideways since the spring but had been slowly declining until a couple of weeks ago. WM has come off the recent lows but it’s still nothing to write home about. Performance has been muted when cyclical stocks rally. Meanwhile, Waste Management reported stellar earnings. The company soundly beat estimates with 19% revenue growth and projected 11.7% earnings growth over the next year. WM tends to be bouncy, although in an upward trend. Hopefully investors realize the value and WM gets back on track. BUY
Waste Management, Inc. (WM)
Next ex-div date: December 12, 2025, est.
American Electric Power Company, Inc. (AEP – yield 3.2%) – Utilities are hot. It’s the second-best performing market sector over the last month, just a fraction behind technology. The AI data center induced electricity trade has heated up again, and utilities are benefiting. AEP had been wallowing but is up over 10% in the last couple of weeks. There is a strong chance that the skyrocketing growth in electricity demand will transform performance into something much better than it has been. It is well positioned for growth ahead as well as a possible down market. BUY
American Electric Power Company, Inc. (AEP)
Next ex-div date: November 7, 2025, est.
NextEra Energy (NEE – yield 2.8%) – This combination clean energy and regulated utility is finally breaking out amid the utility rally. We are in a Fed rate cutting cycle. Electricity demand is booming. NEE is undervalued. The nation’s largest electric utility has a lot going for it right now. For most of this year, NEE has pulled back every time after poking its head above 75 per share. But this time it soared well higher, above 83, and is within bad-breath distance of the 52-week high made almost a year ago. NEE is cheap with pent-up upside. Hopefully it can keep going. BUY
NextEra Energy Inc. (NEE)
Next ex-div date: November 28, 2025, est.
USB Depository Shares (USB-PS – yield 5.6%) – Interest rates have remained peskily high this year. But fixed income got a boost as the Fed has started cutting the Fed Funds rate again. The trend for longer-term interest rates is more likely to be lower than higher in the months ahead. The high yield is safe, and the price could rally over the rest of the year. BUY
USB Depository Shares (USB-PS)
Next ex-div date: October 15, 2025
Vanguard Long-Term Corp. Bd. Index Fund (VCLT – yield 5.4%) – Ditto for VCLT. The long-term corporate bond ETF loves falling interest rates and hates rising ones. There will be more price pressure if rates continue to rise and vice versa. But the situation over the course of the year should be more positive than it has been. VCLT has already been moving higher in anticipation. BUY
Vanguard Long-Term Corp. Bd. Index Fd. (VCLT)
Next ex-div date: November 3, 2025, est.
Dividend Calendar
Ex-Dividend Dates are in RED and italics. Dividend Payments Dates are in GREEN. Confirmed dates are in bold, all other dates are estimated. See the Guide to Cabot Dividend Investor for an explanation of how dates are estimated.
The next Cabot Dividend Investor issue will be published on November 12, 2025.
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