Analyst Recommends DHT Holdings and Frontline for High Dividend Yields Up to 8% Amid Economic Uncertainty

Jefferies suggests high-quality dividend stocks as a way to capture the economic cycle amid recession fears. Analyst Omar Nokta picks two with up to 8% yields.

DHT Holdings operates a fleet of modern crude oil tankers and pays out 100% of earnings in dividends, now yielding 8%. Nokta sees upside potential.

Frontline has one of the world's largest crude tanker fleets and consistently maintains high dividend payouts around 80% of earnings. The current yield is 6.4%.

Both DHT and Frontline are well-positioned to benefit from growing oil exports and tanker market strengthening, per Nokta.

Strong buys on DHT and Frontline with respective 26% and 30% upside potential over the next 12 months according to price targets.