Here we go again. The calendar has turned and a new trading month is upon us. 2023 is flying by as two months are already in the books and that fact simply highlights to me the importance of staying invested in the stock market during the good times and bad. After all, as dividend centric investors we know that time in the market equates to continued growing passive income no matter what the general markets are doing. Dollar cost averaging into positions takes away a lot of the guesswork of trying to pick the absolute bottoms of stock prices and allows you to stack shares easily over time.
With that being said let’s take a look at my March 2023 stock considerations.
First up, I am looking at Verizon Communications Inc. (VZ) once again. I nibbled here a bit in November, December, January and February and prices are still looking attractive. This stock is trading with a low forward PE of just over 8 and sports a very juicy yield getting close to 7% and a moderate payout ratio of around 51% making this dividend appear to be very safe going forward. I realize that this company may not be a growth machine going forward but what it lacks in growth the current yield makes up for.
Next, I am taking a look at another large telco AT&T Inc. (T). While I have been nibbling on VZ a lot over the past several months T has largely remained off my buy list. However, that juicy yield approaching 6% is enticing me once again. With a reasonably low forward PE north of 7 the stock is looking fairly valued in the high teens.
Another stock I am considering is LyondellBasell Industries N.V. (LYB). This stock sports a current yield approaching 5% with a very comfortable dividend payout ratio around 40% keeping future payments and raises likely. With a forward PE around 10 the stock looks fairly valued at current prices.
Finally, I am taking a look at GSK plc (GSK). This stock seems to be trading at fair value with a forward PE of just 9.5. The yield is also relatively high well north of 4% and also appears to be safe based on its moderate payout ratio of around 69%.
Clearly, I am looking at capturing some juicy current yield with my potential stock picks for the month. What do you think about my stock considerations for March? What are you looking to buy this month? Please let me know below.
Disclosure: Long VZ, T, LYB, GSK