3 Monster Stocks to Hold for the Next 3 Years

2 months ago 17

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Reuben Gregg Brewer, The Motley Fool

Tue, Apr 8, 2025, 1:54 AM 5 min read

A caller acceptable of U.S. import taxes has riled planetary markets and led to a steep sell-off connected Wall Street. Investors are, understandably, moving for cover. Now is the clip to look for stocks that connection a reliable dividend truthful they tin absorption connected thing different than banal prices. Three coagulated choices contiguous are Realty Income (NYSE: O), Enterprise Products Partners (NYSE: EPD), and, for the much hazard tolerant, British American Tobacco (NYSE: BTI).

Realty Income has a 5.8% dividend yield. The dividend has been accrued annually for 30 consecutive years. It is the largest nett lease real property concern spot (REIT) with implicit 15,600 properties. Adding Realty Income's monthly wage dividend to your portfolio volition fto you power your absorption from the antagonistic temper of the marketplace to the affirmative temper you'll get from collecting a regular dividend check.

The biggest sound against Realty Income contiguous is apt to beryllium the information that astir 75% of its rents travel from retail properties. That's a just concern, since higher tariffs could interaction immoderate retailers. However, a bully store determination is simply a bully store location, and retailers won't easy adjacent powerfully performing stores. If a retailer does get into trouble, it is apt that a bully determination volition gully a caller tenant reasonably quickly. Add successful an concern grade-rated equilibrium expanse and marketplace turmoil could really crook into an concern accidental for Realty Income if retailers privation to merchantability the REIT properties to fortify their ain equilibrium sheets.

Enterprise Products Partners has a 6.9% organisation yield. It has accrued its organisation annually for 26 consecutive years. Enterprise is 1 of the largest midstream businesses successful North America. It operates implicit 50,000 miles of pipelines, owns 300 cardinal barrels (MMbbls) of liquid retention capacity, 20 deepwater docks, 42 earthy state processing trains, and 26 fractionators, among different vigor infrastructure assets.

While vigor prices are alternatively volatile, midstream businesses mostly complaint fees for the usage of their assets. That provides reliable currency flows adjacent erstwhile vigor prices are shifting around. In fact, the vigor assemblage couldn't run without the types of assets Enterprise Products Partners owns, truthful adjacent during heavy lipid downturns, request for its services tends to stay reasonably robust. And Enterprise has an concern grade-rated equilibrium expanse that should let it to instrumentality a fewer knocks earlier the lofty organisation would beryllium astatine risk.