2 Dividend-Paying Biotech Stocks Worth Owning in 2020
Dividend stocks are a powerful way to boost the return on capital of any portfolio. That being said, it can be a chore to unearth income stocks worth owning for long periods of time. The fundamental problem is that most companies simply can't maintain their status as a top dog for lengthy periods of time. Moreover, the few publicly traded companies that can maintain a dominant competitive position -- especially those that pay attractive dividends -- tend to come with unsightly price tags.
The blue-chip biotechs AbbVie (NYSE: ABBV) and Gilead Sciences (NASDAQ: GILD) are unique in this regard. Although both companies are smack dab in the middle of periods of transformation, they have been able to maintain -- and even grow -- their share of key disease markets. Nonetheless, the moody market has still seen fit to reward AbbVie and Gilead with clearance-rack valuations. AbbVie, for instance, is presently trading at a rock-bottom 9.19 times forward-looking earnings, and Gilead's stock is even cheaper at 9.09 times next year's projected earnings. Here's why income investors may want to scoop up some shares of these grossly undervalued dividend stocks soon.
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Source Fool.com
