2 Bargain-Basement Stocks to Buy Now to Make You Richer

The coronavirus pandemic created supply chain snarls that required material changes to business practices. Now that the world is moving on from the public health crisis, the supply chain is slowly starting to get back to normal. That's been tough on Stanley Black Decker (NYSE: SWK) and (NYSE: IFF). But for dividend investors that can think long term, now could be a good time to jump on board.

Stanley Black Decker is an industrial icon with over five decades of annual dividend increases behind it. That makes it a highly elite Dividend King. The company makes tools, which seem pretty mundane, but are really necessity items. Imagine trying to build a house without power tools; it can be done, but it would be a lot harder. Still, it looks like 2023 is going to be a rough year, with adjusted earnings projected to fall between breakeven and $2.00 per share. That's down from $10.48 per share in 2021.

There are a lot of moving parts here. For starters, Stanley Black Decker made some acquisitions that left it with a heavy debt load. It has sold noncore assets and started to deleverage, though there is still more work to be done. If that were the only issue, it wouldn't be such a big deal. But the new businesses have to be integrated and, while that has been going on, a pandemic created supply chain snarls that required the company to carry extra inventory so it could service its customers. Management has a plan, but all of this hit at the same time.

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Source Fool.com