3 Market-Beating Dividend Stocks to Buy Today
Investors who are looking for good dividend stocks don't have to forgo the possibility of earning capital appreciation along the way. While many dividend stocks may sometimes offer mediocre returns, some have real potential. The three stocks listed below pay as much as 4.5% per year in dividends, and they've also outperformed the S&P 500 this year, which is down 13% since January.
Eli Lilly (NYSE: LLY) is up 20% since the start of 2020, as the drug manufacturer's been a stable buy during a very volatile year thus far. The low-volatility stock is trading near its 52-week high. A big part of the reason it's doing so well is because the company's coming off an impressive quarter. On April 23, Lilly released its first-quarter results of fiscal 2020, which showed revenue rising 15% from the prior-year quarter up to $5.9 billion. The company says consumers were buying more as a result of the pandemic, estimating that it added $250 million to its top line.
Another reason investors are bullish on the company this year is that Lilly noted in its results that the National Institute of Allergy and Infectious Diseases is studying baricitinib, which is a drug that treats rheumatoid arthritis, to see whether it could be effective in treating patients with COVID-19. If successful, it could be a tremendous opportunity for Lilly, as there are more than four million people who have contracted COVID-19 around the world.
Source Fool.com
