Three high-yielding dividend stocks with declines between 32% and 56% are worth buying now!

The stock market has been on the decline lately, but this year it has hit record highs. Catalysts such as strong economic growth, the prospect of interest rate cuts, and artificial intelligence have driven most stocks higher.

However, not all companies have participated in the rally. Stanley Head Resonance firms (Stanley Black & Decker New York Stock Exchange Stock Codes (SWK), NextEra Energy, Inc. New York Stock Exchange Stock Codes::NEE(math.) andBrukfeld Renewable Energy Company ( Brookfield Renewable (math.) genusNew York Stock Exchange Stock Codes(BEP)Some Fool.com contributors are impressed because their stock prices are currently trading between 32% and 56% below their all-time highs of a few years ago, and because of this, these top dividend stocks offer much higher yields. Because of this, these top dividend stocks offer much higher yields. Combined with their impressive growth prospects and compounding potential, they could return a substantial total return.

Stanley Head Resonance is on the verge of a major turnaround.

Reuben Gregg Brewer (Stanley Black & Decker):With a dividend yield of about 3.51 TP3T, Stanley Blake Resonance Dykes may not be considered a high-yield stock by some investors. However, the S&P's yield is a paltry 1.31 TP3T, while the S&P's yield is about 1.5 TP3T.iShares U.S. Industrial ETFThe average yield on industrial stocks, as represented by Stanley Hed Resonance, is only 0.9%. Oh, and Stanley Hed Resonance's yield is right near the highest level in the company's recent history. The last time yields were as high as they are today was during the Great Recession!

The reason Stanley Black & Decker's dividend yield is so high, in terms of the basic math of dividend yield calculations, is that the stock has fallen from its 2021 high by a painful 55% or so. There's a reason for this decline, too. adjusted earnings are $10.48 per share in 2021, and then decline each of the next two years to $1.45 per share in 2023.

However, management has been working hard to reduce debt, streamline operations and cut costs. Margins have been improving over the past year or so. The company expects adjusted earnings per share to be between $3.50 and $4.50 in 2024. If that materializes, Wall Street could start to become more bullish on the company's stock.

In short, you're buying a dividend king (56 consecutive years of dividend increases) with a historically high yield that's above the industry average. Yes, it's a turnaround story, but you're getting a great return and can wait for Stanley Black & Decker's business transformation program to bear fruit - which should begin in 2024.

Strong dividend growth

Matt DeLallo (NextEra Energy): Over the past year, NextEra Energy's stock price has fallen nearly 20% and is now down about 32% from its all-time high in early 2022.The stock price decline has lowered the company's dividend yield to 3.2%.This is near the highest level in the past decade and is Standard & Poor's 500Index Dividend YieldTwice as much. The

NextEra Energy has a stellar track record when it comes to paying dividends. The utility has increased its dividend for 30 consecutive years. Over the past decade, its dividend has grown at a compound annual rate of 111 TP3T, including an increase of 101 TP3T earlier this year.

NextEra Energy expects its dividend to continue to grow strongly for at least the next few years. The company has extended its growth outlook until at least 2026, targeting an annual increase in payout of approximately 10% from this year's level.

There are two factors driving this program. The company'sDividend payout ratioLower (59%, compared to the average of utility peers' Dividend payout ratiofor (65%). In addition, the company has strong growth prospects. The company expects adjusted EPS to grow 6% to 8% annually through 2026, and operating cash flow growth is expected to meet or exceed the upper end of this range. nextEra Energy is growing faster than most of its peers due to its focus on Florida (low-cost solar and above-average population growth) and investment in renewable energy. NextEra Energy is growing faster than most peers, thanks to its focus on Florida (low-cost solar and above-average population growth) and its investment in renewable energy.

With a lower stock price, a higher dividend yield, and strong earnings and dividend growth prospects, NextEra Energy, Inc. is likely to generate substantial aggregate returns in the coming years.

Koon's share price will fall despite strong future growth.

Neha Chamaria (Bruckefeld Renewable Energy):Bruford Resonance Renewable Carpet Partnership's main objective is to pay dividends: its annual report states that it "aims to pay a long-term sustainable dividend while preserving sufficient liquidity for recurring growth capital expenditure and for general purposes". Brunfeld Renewable Carbide Partners is a master limited partnership (MLP), and dividends are referred to as distributions in MLP jargon. Its sister company, Brunfeld Resonance Renewables, is a Master Limited Partnership (MLP) that pays dividends, known as distributions in MLP terminology.firms(Brookfield Renewable Corporation) shares also pay dividends.

In line with its goals, Bluefield Renewables not only pays a regular dividend, but has steadily increased its dividend over time, thus consistently rewarding investors: for more than two decades, Bluefield Renewables has seen its dividend grow at a compounded annual rate of 6%. Investors can continue to look forward to steady dividend growth in the stock for three reasons: the majority of the company's cash flow is carpet-compatible and therefore relatively stable; the management has been investing in growth and is committed to increasing the dividend over time; and the company has been investing in growth. Management has been investing in growth and is committed to increasing the dividend over time.

As a result, Brookfield Renewable is targeting at least 10% per unit of working capital (FFO) growth between 2023 and 2028, driven by the development of Koon Road, margin improvements, inflationary escalation clauses in its carpet and potential acquisitions. This FFO growth target appears feasible, and the company believes that it is sufficient to support annual distribution growth of 5% to 9% over the period. This growth, combined with the high yield, could mean a double-digit annual return for shareholders. This makes this high-yielding stock, which is down 56% from its all-time high in 2021, an attractive long-term buy.

Should you invest $1,000 in NextEra Energy now?

Consider this before buying shares of NextEra Energy:

Motley Fool Stock AdvisorA team of analysts has just named what they think is the best name for investors to buy right now.10NextEra Energy is not one of the 10 stocks listed on ....... The 10 stocks that made the list could generate huge returns in the coming years.

Consider April 15, 2005Nvidia) on the list at ...... If you invested $1,000 at the time of our referralYou will have 540,321dollar! *Stock Advisor provides easy-to-use stock investment tools for investors.

Stock AdvisorIt provides investors with an easy-to-learn blueprint for success, including guidance on building a portfolio, regular updates from analysts, and two new stock picks each month. Stock Advisor The service has contributed to the S&P 500 Index's return since 2002.translate twiceMuch*.

View 10 Gift Certificates

*Stock Advisory Rates as of April 8, 2024

Matt DiLallo owns shares of Brookfield Renewable, Brookfield Renewable Partners, and NextEra Energy. neha Chamaria has no position in any of these stocks. reuben Gregg Brewer owns shares of Stanley Black & Decker. the Motley Fool owns recommended Brookfield Renewable and NextEra Energy. the Motley Fool recommends Brookfield Renewable Partners. Reuben Gregg Brewer owns shares of Stanley Black & Decker.The Motley Fool holds shares of Brookfield Renewable and NextEra Energy.The Motley Fool recommends Brookfield Renewable Partners.The Motley Fool has a disclosure policy. The Motley Fool has a disclosure policy.

Buy Now 3 High-Yield Dividend Stocks With Dips Between 32% and 56% was originally published by The Motley Fool.