AN INVESTMENT IN KNOWLEDGE PAYS THE BEST INTEREST ~ Benjamin Franklin

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Pioneer Resources Leads S&P500 For Dividend Yield

• 11% Expected Dividend Yield based on second quarter run rate, an estimated fair value of $280 per share.
• Boasts highest yield in S&P500 with a 25% increase in base dividend yield to $3.12 annually per share and a variable dividend yield based 80% payout ratio of free cash flow.
• Strong focus on free cash generation by maximizing margins and prudently deploying capex (Capital Expenditures).
• Sector low cash costs coupled with sector high realized price so far in 2022 results in highest gross margins.
• Strong Balance sheet with low debt-to-EBITDA of 0.1.
• Goal is to “produce the lowest cost barrels with the highest margins and lowest emissions.”

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6% Dividend Yield for Hanes Brands Coupled with Growth is Compelling

• 6.0% dividend yield (45% payout ratio), with growing activewear and “full potential” cost trimming program.
• #1 market share in North America, with household name brands like Champion and Hanes.
• Expansion to consumer delivery methods, launching direct-to-consumer websites.
• Estimated Fair Value of $18.00

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Broadcom Broadens Cloud Offerings with VMWare Acquisition

• 3.2% Dividend Yield with growth with an estimated Fair Value of $560
• Massive portfolio of over 19,000 patents, set to expand with VMWare acquisition.
• Over 99.9% of internet transactions flow through a Broadcom product at some point, with 80% of Wi-Fi systems being built with Broadcom technology.
• 50% FCF dividend payout, expected to continue unchanged after VMWare acquisition, targeting 2.5x debt-to-EBITDA by 2025.
• A Top trusted brand, with 773 of top 2000 global firms as clients – most of whom use at least 2 Broadcom systems.

16yield

Himax 16% Yield. Price Earnings Ratio 4.5 – Estimated Fair Value of $16. 100% possible appreciation.

Himax (HIMX) great dividend yield of 16% and low PE of 4.5. Growth stock and an unbelievable value. Display technology is everywhere and Himax is growing with it. Set to increase earnings and increase PE from PE of 4.5 to at least a PE of 10. Big dividend paid in June 2022 of $1.25 per share and expect a similar dividend next year in June.

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Fresenius SE May be Free of Headwind Woes

• 3.2% Dividend Yield, 28% payout ratio, with a 29th consecutive dividend increase in 1Q22.
• Estimated Fair Value of $11.44
• Global footprint, with a dominant share in Europe and an increasing share in emerging markets.
• Some headwinds in labor costs and supply chain, but tailwinds in regulation, growth in telemedicine, and growth in private healthcare in Europe.
• Acquisition of Ivenix (IV technology) and a majority share of mAbxience (biosimilar developer/manufacturer) to help accelerate growth in the Kabi segment.

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Hanes Brands Unlocks Potential with “Full Potential” Initiative

• 6.0% dividend yield (45% payout ratio), with growing activewear and “full potential” cost trimming program.
• #1 market share in North America, with household name brands like Champion and Hanes.
• Expansion to consumer delivery methods, launching direct-to-consumer websites.
• Estimated Fair Value of $18.00

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Stanley Drills Down Future Amid Temporary Headwinds

• 2.9% Dividend Yield with manageable 30-35% payout ratio.
• Estimated Fair Value of $165.
• Free cash flow machine, with FY2022 free cash estimated to be between $1-1.5 billion.
• M&A giant, seeking to expand and consolidate offerings through promising upstarts and through acquiring well-known brands with an already proven customer base.
• $1.5 billion in headwinds are expected to alleviate by the end of FY2022 as inventories decrease, inflation decreases, and global supply bottlenecks alleviate.
• Geographically diversified, with significant growth in emerging markets including China and South America.

Building Benjamins

Flash Dividend Buy: HBI and SWK

Flash Dividend Buy: HBI and SWK June 15, 2022 I am buying two stocks with dividends: Stanley Black & Decker, Inc. (SWK) Yield 2.96% Hanesbrands Inc. (HBI)  Yield 5.76% Full reports to follow. 

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AFC Gamma,12%, and Chicago Atlantic Real Estate Finance, 9%, High Yielding REITS in Cannabis Lending

AFC Gamma (AFCG) and Chicago Atlantic Real Estate Finance (REFI) are commercial REITs focused on loans to the cannabis industry. They originate direct loans to the underserved-by-traditional-finance cannabis industry.

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3M Has 64th Annual Dividend Increase Despite Headwinds

• 4.0% dividend yield with our estimated fair value at $175.
• Over 50,000 products on offer to OEMs, consumers, professionals, and others.
• 100+ years of dividends, with 64 consecutive years of dividend increases.
• Current margin compression expected to alleviate as investments in efficiency begin to pay off and as global shortages alleviate.
• Expecting tailwinds in electrification and automation over the next decade once semiconductor shortage alleviates.