In this article, we will take a look at the 13 Extreme Dividend Stocks With Huge Upside Potential.
Dividend stocks have outperformed the market so far this year. The S&P 500 Dividend Aristocrat Index has risen nearly 3% since the start of 2026. Over the same period, the broader S&P 500 has declined 2.16%.
Mike Casey, a certified financial planner and president of American Executive Advisors, shared his view on the trend:
“Dividend-focused ETFs have quietly reasserted their relevance in periods like this year when volatility reminds investors that total return isn’t only about price appreciation. When markets become choppy, the consistency of cash flow tends to change investor behavior in a very tangible way.”
Dividend investors can either spend the income they receive or keep it. There are also ways to use those payouts to strengthen a portfolio and prepare for more market swings. One option is to reinvest the dividends. Depending on an investor’s time horizon, asset allocation plan, and confidence in the dividend-paying company, the income can be used to buy additional shares. Over time, that approach can help compound returns.
Dividend reinvestment is a strategy that Thomas Van Spankeren, CFP and chief investment officer at RISE Investments, often uses with younger clients and investors who have longer time horizons. “We like to reinvest the dividends if there is no near-term cash flow need,” he said. Investors can simplify the process by enrolling in a dividend reinvestment plan through their brokerage. These programs automatically use dividend payments to buy more shares. These plans, often called DRIP programs, work in a way that resembles dollar-cost averaging. Investors continue buying shares at different times, regardless of how the stock price moves. Another approach is to build up liquidity.
In a volatile market, holding some cash can help investors avoid selling assets at unfavorable times. It also leaves them prepared to buy shares if prices fall. Given this, we will take a look at some of the best dividend stocks to invest in.
Photo by Vitaly Taranov on Unsplash
Our Methodology
For this list, we screened for dividend stocks with yields higher than 4% as of March 13. Then, we narrowed down the choices by finding stocks with the highest upside potential according to analysts. Among those stocks, we chose companies that have relatively stable dividend histories; however, a lot of the companies on the list don’t have a consistent record of paying dividends due to their exceptionally high yields. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).
13. Blackstone Inc. (NYSE:BX)
Dividend Yield as of March 13: 4.49%
Upside Potential as of March 13: 48.5%
On March 3, Reuters reported that Blackstone Inc. (NYSE:BX)’s flagship private credit fund saw a surge in withdrawals during the first quarter. The increase came as investors grew uneasy about private credit and as smaller rival Blue Owl Capital faced its own challenges.
The New York-based investment firm allowed clients to withdraw $3.7 billion from its $82 billion fund, BCRED, according to a filing released. The fund also received $2 billion in new commitments, leaving net withdrawals at $1.7 billion. Blackstone’s shares dropped 8% the following day to their lowest level in two years after the company said redemption requests reached 7.9% of the fund.
The wave of requests pushed the firm to raise its usual redemption cap from 5% to 7%. Blackstone and its employees also invested $400 million to ensure that all withdrawal requests could be met. Shares of rival firms moved lower as well before rebounding later in the day. Broader market indexes were already under pressure as conflict in the Middle East weighed on investor sentiment.
About 24% of Blackstone’s $1.27 trillion in assets under management comes from wealthy individuals. Investment firms have increasingly focused on this group as slower returns have made some institutional investors, including pension funds, more cautious. Blackstone President Jon Gray told CNBC that products allowing retail investors to withdraw money periodically mean they are “trading away a bit of liquidity for higher returns”.Institutions tend to lock up capital for longer periods. Even so, Gray said they “continue to allocate significant amounts to private credit.”
Founded in 1985, Blackstone Inc. (NYSE:BX) is the world’s largest alternative asset manager operating from its headquarters in New York.
12. Moelis & Company (NYSE:MC)
Dividend Yield as of March 13: 5.05%
Upside Potential as of March 13: 46.33%
On March 12, Goldman Sachs lowered its price recommendation on Moelis & Company (NYSE:MC) to $70 from $80. The firm reiterated a Neutral rating on the shares.
Investment banking volumes are up 4% year over year through March 9. The analyst noted that growth has slowed in recent weeks and could turn negative if geopolitical uncertainty continues. That risk is already showing up in bank stocks, which are down about 15% year to date and have lagged the S&P 500 due to multiple compressions, the analyst told investors in a research note. The firm said near-term volatility may continue. Even so, the longer-term outlook for M&A activity remains constructive. The cycle is still seen as being in its middle stages when compared with the trough reached in 2023.
Moelis & Company (NYSE:MC) is a global independent investment bank that provides strategic advice and solutions to a wide range of clients, including corporations, governments, and financial sponsors. The firm supports clients as they pursue strategic goals. It offers integrated financial advisory services across multiple industry sectors.
11. Cannae Holdings, Inc. (NYSE:CNNE)
Dividend Yield as of March 13: 5.25%
Upside Potential as of March 13: 38.05%
On March 9, Cannae Holdings, Inc. (NYSE:CNNE) announced that its Board of Directors had approved a new stock repurchase program. The program became effective on March 6, 2026.
Under the authorization, the company may repurchase up to 10 million shares of its common stock. This comes in addition to the 4.9 million shares remaining under Cannae’s earlier repurchase authorizations. In total, the company now has approval to buy back 14.9 million shares. Cannae currently has 46.4 million shares outstanding.
The Board said it remains unsatisfied with the company’s current share price. In its view, the price does not reflect the intrinsic value of Cannae’s assets or the long-term potential of its platform. Based on feedback from shareholders, the Board decided to expand its commitment to returning capital. It increased the share repurchase authorization to give management more flexibility to buy back shares in the near term and as the company generates liquidity through the sale of non-core assets. The company said the larger authorization reflects its focus on maximizing shareholder value and taking steps aimed at increasing Cannae’s share price.
Cannae Holdings, Inc. (NYSE:CNNE) primarily acquires interests in operating companies and takes an active role in managing and operating a core group of those businesses. Its operating segments include Restaurant Group, Alight, Black Knight Football, and JANA.
10. Polaris Inc. (NYSE:PII)
Dividend Yield as of March 13: 5.36%
Upside Potential as of March 13: 32.01%
On March 11, Wells Fargo initiated coverage of Polaris Inc. (NYSE:PII) with an Equal Weight rating. The firm set a $52 price target on the stock. The analyst said the company is making progress in improving the quality of its business. At the same time, the demand backdrop “remains poor,” according to a research note sent to investors. Wells Fargo also views tariffs as a “key overhang” for the stock and believes Polaris’ “share capture debate remains unresolved for now.”
Earlier in February, Polaris announced the completion of its previously announced separation of Indian Motorcycle into a standalone business. The company also sold a majority stake in Indian Motorcycle to Carolwood LP, an independent private equity firm founded in 2014 and headquartered in Los Angeles. Polaris Chief Executive Officer Mike Speetzen made the following comment:
“The successful completion of this transaction is a great outcome for all. Separating Indian Motorcycle enables Polaris to sharpen our strategic and operating focus on our core growth businesses, while driving immediate value creation for shareholders.”
Polaris Chief Executive Officer Mike Speetzen. designs, engineers, manufactures, and markets powersports vehicles. The company also designs and manufactures or sources parts, garments, and accessories (PG&A), including aftermarket accessories and apparel.
Polaris Inc. (NYSE:PII) is a leading US manufacturer of powersports vehicles, with products spanning off-road vehicles, snowmobiles, motorcycles through Indian Motorcycle, and boats.
9. ManpowerGroup Inc. (NYSE:MAN)
Dividend Yield as of March 13: 5.57%
Upside Potential as of March 13: 44.18%
On March 6, Barclays lowered its price recommendation on ManpowerGroup Inc. (NYSE:MAN) to $35 from $42. It reiterated an Equal Weight rating on the stock. The firm said that “low-to-no AI disruption exposure” leaves the business services group in a relatively stronger position compared with information services.
During the Q4 2025 earnings call, Chairman and CEO Jonas Prising said the company was satisfied with its fourth-quarter performance. He noted that the results pointed to a clear shift toward stabilization. According to Prising, the improvement was largely driven by enterprise demand. He also pointed to disciplined execution and a continued focus on controlling costs. He reported quarterly revenue of $4.7 billion, representing organic constant currency growth of 2%. System-wide revenue reached $5.1 billion.
Prising said performance improved gradually toward the end of the year. Clients were still cautious about hiring decisions due to the broader macroeconomic backdrop. Even so, engagement levels remained stable, and activity started to become more consistent. He also highlighted resilience across several key markets. France showed stability, while Italy delivered results that came in stronger than expected. In the United States, the Manpower brand recorded growth for three consecutive quarters. Experis also showed improvement as its declines began to narrow.
Cost control remained a major focus for the company. During the quarter, SG&A expenses fell 4% in constant currency terms. Northern Europe also returned to positive operating profit for the first time in five quarters. Prising added that the company continued rolling out AI recruiter toolkits, which increased placement rates by 7%. ManpowerGroup also expanded the use of agentic AI coding assistants across its US operations.
ManpowerGroup Inc. (NYSE:MAN) is a global workforce solutions provider. The company offers a broad range of services, including recruitment and assessment, upskilling and reskilling, training and development, career management, outsourcing, and workforce consulting.
8. Vail Resorts, Inc. (NYSE:MTN)
Dividend Yield as of March 13: 6.74%
Upside Potential as of March 13: 23.4%
On March 12, Morgan Stanley lowered its price recommendation on Vail Resorts, Inc. (NYSE:MTN) to $147 from $151. It reiterated an Equal Weight rating on the shares. The firm also reduced its 2026 EPS estimate to $4.77 from $6.40, reflecting what it described as “historically challenging conditions” in the Rockies that pushed Q2 visitation down 13% during the quarter. The analyst said visitation is likely to face similar pressure in Q3.
During the fiscal Q2 2026 earnings call, CEO and Executive Chairman Robert Katz said the company faced an unusually difficult winter season. He explained that the Rockies experienced what he called the most challenging weather conditions the company had seen, with snowfall and snowpack levels at or near historic lows. Katz said those conditions weighed heavily on visitation and overall performance. He also noted that the Rockies represent the company’s largest contributor to resort EBITDA. Because of that, the weak weather conditions had a particularly strong negative impact on results.
He also discussed the company’s advanced commitment strategy and its role in providing some stability. Katz noted that pass unit sales have grown 55% over the past five years. Pass holders now account for roughly 75% of total annual visitation. Katz also pointed to ongoing efforts to diversify the company’s portfolio and strengthen its marketing strategy. As part of those efforts, the company introduced a new young adult pass priced about 20% below the standard rate for individuals between the ages of 13 and 30. He also highlighted the launch of a new marketing campaign called Epic Passion. The campaign is aimed at increasing engagement among Gen Z consumers.
Vail Resorts, Inc. (NYSE:MTN) operates a network of destination and close-to-home ski resorts around the world. Its portfolio includes Vail Mountain, Breckenridge, Park City Mountain, Whistler Blackcomb, Stowe, and 32 additional resorts.
7. Douglas Emmett, Inc. (NYSE:DEI)
Dividend Yield as of March 13: 7.80%
Upside Potential as of March 13: 32.3%
On March 2, Scotiabank lowered its price recommendation on Douglas Emmett, Inc. (NYSE:DEI) to $11.50 from $12.50. The firm reiterated a Sector Perform rating on the shares. The analyst said the firm was updating price targets for US real estate and REIT stocks under its coverage following Q4 results. Scotiabank also said REITs should consider raising target development yields to place more focus on near-term funds from operations per share. The firm added that external growth through acquisitions may offer a “better thematic story.”
During the Q4 2025 earnings call, CEO Jordan Kaplan said the company continued to see healthy demand for office space and maintained very strong tenant retention. He noted that the portfolio recorded around 100,000 square feet of net positive office absorption during the quarter. Concessions remained modest, and market rents held steady. Kaplan also highlighted solid performance in the multifamily segment. He said strong demand and rising rents helped the company reach full occupancy. Same-property cash NOI increased by nearly 5% compared with the previous year.
He also discussed progress on several capital market initiatives. The company completed the acquisition of 10900 Wilshire and started construction at The Landmark Residences, a 712-unit redevelopment project in Brentwood. Kaplan added that the company carried out nearly $2 billion in debt transactions at competitive rates. These steps extended the firm’s debt maturity profile and strengthened the balance sheet. Looking ahead to 2026, Kaplan said the company plans to focus on office leasing activity, including efforts to re-tenant Studio Plaza.
Other priorities include continuing refinancing efforts, advancing construction at The Landmark Residences and 10900 Wilshire, and planning additional residential development sites across the Westside. He also said the company sees potential opportunities to acquire more high-quality office properties in its markets. Current valuations, he noted, appear to be trading at significant discounts to their long-term values.
Douglas Emmett, Inc. (NYSE:DEI) is a fully integrated, self-administered, and self-managed real estate investment trust (REIT). The company owns and operates office and multifamily properties in the coastal submarkets of Los Angeles and Honolulu. It operates through two segments: office and multifamily.
6. OneMain Holdings, Inc. (NYSE:OMF)
Dividend Yield as of March 13: 8.05%
Upside Potential as of March 13: 31.02%
On March 9, BofA analyst Mihir Bhatia lowered the firm’s price recommendation on OneMain Holdings, Inc. (NYSE:OMF) to $66 from $74. It reiterated a Buy rating on the shares. The firm said it is adjusting price targets for several consumer finance stocks to reflect a more uncertain macro outlook and lower market multiples.
During the Q4 2025 earnings call, CEO Douglas Shulman said the company delivered a strong performance for the year. He pointed to solid earnings growth and steady progress across the company’s strategic priorities. Shulman reported that full-year C&I earnings per share reached $6.66, a 36% increase from the prior year. Capital generation totaled $913 million, up 33% year over year. Receivables grew 6% to more than $26 billion. Revenue increased 9%.
Shulman said the results were largely driven by targeted initiatives in personal loans, auto finance, and credit cards. He also discussed several products and technology developments during the year. The company expanded its debt consolidation offering and introduced new data-driven tools designed to improve credit decision-making. It also rolled out a streamlined renewal product and launched a new secured lending product aimed at homeowners. Shulman added that the company introduced an AI-powered tool to help improve productivity. The company also expanded its partnership with Ally Financial through the Clearpass program, which had grown to around 1,700 participating dealers.
OneMain Holdings, Inc. (NYSE:OMF) is a financial services holding company. The company provides personal loan products, offers auto financing and credit cards, and provides optional products and a customer-focused financial wellness program. It also services loans and handles acquisitions and dispositions of assets and businesses.
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