The current economic environment is a tough nut to crack to say the least. Rising inflationary pressures and a mixed economic outlook has many consumers clamping down. Value and discounting has become the mantra for many people. And in that, our latest Best Dividend Protection Stocks Model Portfolio pick has been able to profit handsomely in the current economic environment!
You can check out the Best Dividend Protection Stocks Model Portfolio to explore all the stocks.
Our pick is one of the largest quick-service restaurants on the planet, serving millions of customers each day. Its food tends to skew towards value-oriented items, making it a big winner as consumers look to save while still dining out. And thanks to its huge locational footprint and leading branding, our pick is the dominant name in the quick service segment.
The wonderful part for our pick is that it doesn’t really own the restaurants under its banner. It franchises them to other operators. As such, many of the costs of actually running a restaurant are removed from its bottom line, making it a very lucrative play on the current shift towards value.
With margins still fat and sales growing, our pick has continued to deliver strong dividend stability and growth to its shareholders over time. This along with the currently low yet steadily growing, 2.2% dividend yield makes it an ideal play for conservative investors looking to strengthen their income potential, while still having some growth.