14 Cheap High Dividend Stocks to Buy Right Now

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7. Target Corporation (NYSE:TGT)

Dividend Yield as of September 10: 4.69%

P/E Ratio: 11.19

Number of Hedge Fund Holders: 54

Target Corporation (NYSE:TGT) is one of the best dividend stocks to buy. On August 21, TD Cowen reiterated a Hold rating on TGT and lifted the price target from $100 to $110.

Target showed better results in Q2, with comparable sales down 1.9% versus a 3.8% drop in Q1, the firm noted. The $105.6 billion company repeated its full-year guidance, expecting low single-digit sales declines. It also offers a 4.62% dividend yield and has raised dividends for 54 straight years.

The company is undergoing challenges, according to TD Cowen, with margin pressure and falling sales in core categories (home goods down 6% and apparel down 4%), but Target had gains in denim, performance wear, and women’s products.

Target’s new CEO is prioritizing urgent change, the investment firm observed, and could take more significant measures on owned brands, exclusive products, and AI initiatives.

TD Cowen also stressed upon growing competition from cheaper alternatives like off-price retailers, SHEIN, and Temu, noting that it has become harder for Target to control its style and design in today’s retail market.

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