As the September meeting of the US Federal Reserve Bank (Fed) approaches, there is more and more talk of an expected interest rate cut. This event could fundamentally impact returns on various types of investments, with dividend stocks being one of the biggest potential winners.

Why dividend stocks?

Dividend stocks offer investors regular income through dividend payments, which can be particularly attractive in a low interest rate environment. When central banks cut interest rates, yields on traditional bonds and other conservative investment vehicles often fall. When this happens, dividend stocks become a more attractive alternative for investors because their dividend yields can offer a higher return than other forms of income.

How to choose the right dividend stocks?

Choosing the right dividend stocks can be tricky, especially given the vast number of companies that pay dividends. Therefore, many investors turn to analyst recommendations that focus on companies with solid financial fundamentals and stable dividends. Here are three interesting picks that might interest investors looking for reliable dividend stocks.

EPR Properties $EPR+0.1%

EPR Properties

EPR

$48.73 $0.06 +0.12%

Capital Structure

Market Cap

3.7B

Enterpr. Val.

6.7B

Valuation

P/E

19.9

P/S

5.4

Open $48.72

Day range $48.51 - $49.62

52 week range $39.66 - $49.62

EPR Properties is a U.S. real estate investment trust (REIT) that focuses on experiential properties such as movie theaters, theme parks, malls with restaurants, and ski resorts. Recently, the company has successfully navigated challenging operating conditions, including the Covid-19 pandemic and the entertainment industry strike.

Analysts predict that EPR Properties has the potential to perform well, especially as the entertainment industry stabilizes. The company's dividend yield is approximately 7.2%, well above the market average.

Energy Transfer $ET+0.4%

Energy Transfer LP

ET

$16.17 $0.06 +0.37%

Capital Structure

Market Cap

55.1B

Enterpr. Val.

112.7B

Valuation

P/E

13.5

P/S

0.7

Open $16.06

Day range $15.96 - $16.29

52 week range $12.90 - $16.50

Energy Transfer is a mid-sized energy company that engages in the transportation and storage of natural gas. This company recently announced a 3.2% increase in its quarterly dividend payout and now offers a dividend yield of around 8%.

Analysts view this company positively due to its growth and expansion opportunities, particularly in the data center energy supply business. With growing demand for natural gas, especially in fast-growing states like Texas and Florida, Energy Transfer could be an interesting investment for those looking for a high dividend yield.

Walmart $WMT-1.3%

Walmart

WMT

$78.04 -$0.99 -1.25%

Capital Structure

Market Cap

635.3B

Enterpr. Val.

686.9B

Valuation

P/E

41.2

P/S

1.0

Open $78.64

Day range $78.28 - $79.41

52 week range $49.85 - $81.02

Walmart, the world's largest retail chain, recently surprised investors with strong results for the second quarter of fiscal year 2025. The company also raised its full-year outlook and continues to reward shareholders through dividends and share buybacks.

Walmart has a long history of dividend increases - it raised its dividend 9% this year to 83 cents per share, the 51st consecutive year of dividend growth. Strong financial results and continued investment in new technology and automation make Walmart an attractive choice for dividend investors.

Disclaimer: There is plenty of inspiration to be found on Bulios, but stock selection and portfolio construction is up to you, so always conduct a thorough analysis of your own.

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