A retirement stock as solid as steel
Tyler Crowe: Among the best choices for a retirement portfolio are dividend aristocrats -- stocks whose dividends have increased annually for at least 25 years. With that kind of reputation comes a certain level of stability that you want in a retirement investment. They can be hard to find at decent prices in these days of frothy market highs, but one notable exception is steel producer Nucor (NYSE:NUE).
Nucor's stock has been hammered over the past couple of years because of the rapid decline in global steel prices. Overcapacity has led to a glut of steel that's taken a toll on just about every steel company's income statement. Unlike so many of its peers that have been posting heavy losses, though, Nucor has remained decently profitable thanks to its unique pay structure for employees and a superior balance sheet. It's the little things like this that have kept Nucor at the top of the steel industry for some time and has allowed it to pay uninterrupted dividend payments for 42 years in a row.
Even though steel companies have had a bit of a rally over the past several months, it looks as though Nucor still has quite a bit of room to run, thanks to new anti-dumping tariffs on imported steel. At a dividend yield just north of 3%, shares of Nucor look like a decent investment for those looking to bolster their retirement portfolios.
This big pharma is (finally) poised for growth
Brian Feroldi: Patent expirations on key drugs have wreaked havoc on many pharma companies' financial statements over the past few years, but few companies have been hit as hard as Pfizer (NYSE:PFE). Sales of its best-selling cholesterol drug, Lipitor, peaked in 2011 at $13 billion annually, but they dropped precipitously once patent protection evaporated. Pfizer found it difficult to fill the void, which is why revenue has declined over the past few years.
However, it finally looks as if Pfizer has successfully turned the corner, having reported six straight quarters of revenue growth. The top line has been greatly aided by a slew of successful new drug launches, which includes the anticoagulant Eliquis, the cancer drug Ibrance, and the pneumococcal vaccine Prevnar 13.
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