Cramer Recommends Buying American Electric Power, Verizon for High Dividends; Says Churchill Downs Faces Competition

American Electric Power is a buy with a good 4.2% dividend yield despite some pressure from rising rates. The company is well-run.
Verizon has an attractive 8% dividend yield. The dividend was recently boosted. The stock is worth owning despite management concerns.
Churchill Downs stock has been volatile. There are now many gambling options. Cramer recommends buying DraftKings instead.
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Cramer says stocks should be evaluated based on their future outlook, not their origin.

cnbc.com

Relevant topic timeline:

7/27/2023

American Electric Power: Q2 Doesn't Damage Long-Term Growth Outlook

Main financial assets discussed: 1. American Electric Power (AEP) - a regulated utilities company with transmission and distribution networks and a diversified power generation fleet. Top 3 key points: 1. AEP operates in favorable regulatory environments and areas of above-average growth, making it an attractive investment opportunity. 2. AEP's vast transmission network is a valuable asset, especially as more wind and solar power facilities come online. 3. AEP has ambitious capital investment plans, but its investment grade credit ratings ensure relatively low-cost debt financing. Recommended actions: **Hold** The article does not explicitly recommend buying, selling, or holding AEP. However, based on the positive aspects highlighted in the article, such as favorable regulatory environments, valuable assets, and potential total returns, it can be inferred that holding AEP would be a recommended action.

9/15/2023

Cramer's Stock Picks: Buy Schlumberger and Avnet, Sell Sea and Joby, Prefer Mastercard Over Discover

Schlumberger's stock performance is regarded as very good, while Avnet's stock is undervalued and profitable; Sea's stock is considered risky and should be avoided, Joby Aviation's stock is recommended to be sold due to heavy losses, and Discover Financial stock is perceived as cheap but it is advised to invest in Mastercard instead; finally, Verizon's stock is compared to a low-yielding bond.

10/3/2023

Rising Rates Slam Utility Stocks as Sector Sees Worst Drop Since 2020

Utility stocks in the US experienced a sharp decline due to higher bond yields and the Federal Reserve's plan for elevated interest rates, causing investors to find utility dividends less attractive compared to risk-free Treasury yields.

10/6/2023

Utility Stocks Hammered by Rates Now Big Bargains for Dividend Investors

Utilities stocks have experienced a significant drop in value due to a spike in long-term interest rates, presenting a buying opportunity for long-term investors who are focused on quality companies with growing sales, earnings, and dividends.

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Posted 9/8/2023, 11:12:28 PM