TipRanks3 ‘Strong Buy’ Stocks With Over 7% Dividend YieldMarkets are unstable, there could be little doubt. To date this month, the S&P 500 has fallen 9% from its peak. The tech-heavy NASDAQ, which had led the gainers all summer season, is now main the on the autumn, having misplaced 11% since September 2. The three-week tumble has traders frightened that we may be getting ready to one other bear market.The headwinds are sturdy. The same old September swoon, the upcoming election, doubts about one other spherical of financial stimulus – all are placing downward stress on the stock markets.Which doesn’t imply that there are not any alternatives. Because the outdated noticed goes, “Bulls and bears can both make money, while the pigs get slaughtered.” A falling market may fear traders, however a sensible technique can forestall the portfolio from shedding an excessive amount of long-term value whereas sustaining a gradual earnings. Dividend stocks, which feed into the earnings stream, could be a key a part of such a method.Utilizing the information accessible within the TipRanks database, we’ve pulled up three stocks with excessive yields – from 7% to 11%, or as much as 6 instances the common dividend discovered on the S&P 500 index. Even higher, these stocks are seen as Sturdy Buys by Wall Street’s analysts. Let’s discover out why.Williams Firms (WMB)We begin with Williams Firms, an Oklahoma-based vitality firm. Williams controls pipelines connecting Rocky Mountain pure gasoline fields with the Pacific Northwest area, and Appalachian and Texan fields with customers within the Northeast and transport terminals on the Gulf Coast. The corporate’s major operations are the processing and transport of pure gasoline, with extra ops in crude oil and vitality era. Williams handles almost one-third of all US business and residential pure gasoline use.The important nature of Williams’ enterprise – actually, trendy society merely can not get alongside with out dependable vitality sources – has insulated the corporate from a number of the financial turndown in 1H20. Quarterly revenues slid from $2.1 billion on the finish of final 12 months to $1.9 billion in Q1 and $1.7 billion in Q2. EPS within the first half was 26 cents for Q1 and 25 cents for Q2 – however this was in step with EPS outcomes for the earlier three quarters. The commonly sound monetary base supported the corporate’s dependable dividend. Williams has been elevating that fee for the previous 4 years, and even the corona disaster couldn’t derail it. At 40 cents per frequent share, the dividend annualizes to $1.60 and yields a formidable 7.7%. The subsequent fee is scheduled for September 28.Truist analyst Tristan Richardson sees Williams as one of many midstream sector’s greatest positioned firms.“We continue to look to WMB as a defensive component of midstream and favor its 2H prospects as broader midstream grasps at recovery… Beyond 2020 we see the value proposition as a stable footprint with free cash flow generation even in the current environment. We also see room for incremental leverage reduction throughout our forecast period on scaled back capital plans and even with the stable dividend. We look for modestly lower capex in 2021, however unlike more G&P oriented midstream firms, we see a project backlog in downstream that should support very modest growth,” Richardson famous.Accordingly, Richardson charges WMB shares as a Purchase, and his $26 price goal implies a 30% upside potential from present ranges. (To observe Richardson’s observe report, click on right here)General, the Sturdy Purchase analyst consensus score on WMB is predicated on 11 Purchase opinions towards only a single Maintain. The stock’s present share price is $19.91 and the common price goal is $24.58, making the one-year upside potential 23%. (See WMB stock evaluation on TipRanks)Magellan Midstream (MMP)The second stock on our listing is one other midstream vitality firm, Magellan. That is one other Oklahoma-based agency, with a community of belongings throughout a lot of the US from the Rocky Mountains to the Mississippi Valley, and into the Southeast. Magellan’s community transports crude oil and refined merchandise, and consists of Gulf Coast export transport terminals.Magellan’s whole revenues rose sequentially to $782.eight in Q1, and EPS got here in at $1.28, nicely above the forecast. These numbers turned down drastically in Q2, as income fell to $460.Four million and EPS collapsed to 65 cents. The outlook for Q3 predicts a modest restoration, with EPS forecast at 85 cents. The corporate strengthened its place within the second quarter with a problem of 10-year senior notes, totaling $500 million, at 3.25%. This decreased the corporate’s debt service funds, and shored up liquidity, making doable the upkeep of the dividend.The dividend was stored regular at $1.0275 per frequent share quarterly. Annualized, this involves $4.11, absolute return, and provides a yield of 11.1%, giving MMP a far increased return than Treasury bonds or the common S&P-listed stock.Nicely Fargo analyst Praneeth Satish believes that MMP has sturdy prospects for restoration. “[We] view near-term weakness in refined products demand as temporary and recovering. In the interim, MMP remains well positioned given its strong balance sheet and liquidity position, and ratable cash flow stream…” Satish goes on to notice that the dividend seems safe for the near-term: “The company plans to maintain the current quarterly distribution for the rest of the year.”Consistent with this usually upbeat outlook, Satish provides MMP an Chubby (i.e. Purchase) score, and a $54 price goal that suggests 57% progress within the coming 12 months. (To observe Satish’s observe report, click on right here)Web internet, MMP shares have a unanimous Sturdy Purchase analyst consensus score, a present of confidence by Wall Street’s analyst corps. The stock is promoting for $33.44, and the common price goal of $51.13 implies 53% progress within the 12 months forward. (See MMP stock evaluation on TipRanks)Prepared Capital Company (RC)The second stock on our listing is an actual property funding belief. No shock discovering one among these in an inventory of sturdy dividend payers – REITs have lengthy been recognized for his or her excessive dividend funds. Prepared Capital, which focuses on the business mortgage area of interest of the REIT sector, has a portfolio of loans in actual property securities and multi-family dwellings. RC has offered greater than $Three billion in capital to its loan clients.Within the first quarter of this 12 months, when the coronavirus hit, the economic system turned south, and enterprise got here to a standstill, Prepared Capital took a heavy blow. Revenues fell by 58%, and Q1 EPS got here in at only one penny. Issues rotated in Q2, nevertheless, after the corporate took measures – together with rising liquidity, lowering liabilities, and rising involvement in government-sponsored lending – to shore up enterprise. Revenues rose to $87 million and EPS rebounded to 70 cents.Within the wake of the sturdy Q2 outcomes, RC additionally began restoring its dividend. In Q1 the corporate had slashed the fee from 40 cents to 25 cents; in the newest declaration, for an October 30 fee, the brand new dividend is ready at 30 cents per share. This annualizes to $1.20 and provides a powerful yield of 9.9%.Crispin Love, writing from Piper Sandler, notes the corporate’s success in getting again on observe.“Given low interest rates, Ready Capital had a record $1.2B in residential mortgage originations versus our $1.1B estimate. Gain on sale margins were also at record levels. We are calculating gain on sale margins of 3.7%, up from 2.4% in 1Q20,” Love wrote.In a separate word, written after the dividend declaration, Love added, “We believe that the Board’s actions show an increased confidence for the company to get back to its pre-pandemic $0.40 dividend. In recent earnings calls, management has commented that its goal is to get back to stabilized earnings above $0.40, which would support a dividend more in-line with pre-pandemic levels.”To this finish, Love charges RC an Chubby (i.e. Purchase) together with a $12 price goal, suggesting an upside of 14%. (To observe Love’s observe report, click on right here)All in all, Prepared Capital has a unanimous Sturdy Purchase analyst consensus score, primarily based on Four latest optimistic opinions. The stock has a mean price goal of $11.50, which supplies a 9% upside from the present share price of $10.51. (See RC stock evaluation on TipRanks)To search out good concepts for dividend stocks buying and selling at enticing valuations, go to TipRanks’ Greatest Stocks to Purchase, a newly launched software that unites all of TipRanks’ fairness insights.Disclaimer: The opinions expressed on this article are solely these of the featured analysts. The content material is meant for use for informational functions solely. It is vitally essential to do your individual evaluation earlier than making any funding.