5 Best Dividend Stocks to Buy According to Morgan Stanley’s Quant Screen

In this article, we will discuss the 5 dividend paying stocks to buy according to Morgan Stanley’s quant screen. If you want to explore similar stocks, you can read 10 Best Dividend Stocks to Buy According to Morgan Stanley’s Quant Screen.

5. Eastman Chemical Company (NYSE:EMN)

Dividend Yield as of September 27: 4.18%

Total Expected Return: 77%

Number of Hedge Fund Holders: 29

Eastman Chemical Company (NYSE:EMN) operates as a specialty materials company in U.S. and international markets. The company develops a diverse range of advanced materials, chemicals, and fibers for day-to-day usage. Eastman Chemical Company (NYSE:EMN) appears to be trading at bargain levels and Morgan Stanley analysts expect the stock to gain 77% over the next couple of months. As of September 27, the stock is trading at a trailing twelve-month PE multiple of 8x.

On August 4, Eastman Chemical Company (NYSE:EMN) declared a quarterly cash dividend of $0.76 per share. The dividend is payable on October 7 to stockholders of record at the close of business on September 15. As of September 27, the stock is offering a forward dividend yield of 4.18% and has free cash flows of $617 million.

In addition to Morgan Stanley, other Wall Street giants also have Buy ratings on Eastman Chemical Company (NYSE:EMN). This September, Deutsche Bank analyst David Begleiter adjusted his price target on Eastman Chemical Company (NYSE:EMN) to $95 from $115 and maintained a Buy rating on the shares. On September 19, UBS analyst Joshua Spector revised his price target on Eastman Chemical Company (NYSE:EMN) to $108 from $118 and reiterated a Buy rating on the shares.

Insider Monkey identified 29 hedge funds that held stakes in Eastman Chemical Company (NYSE:EMN) at the end of Q2 2022. The total value of these stakes amounted to $308 million. As of June 30, Two Sigma Advisors is the leading shareholder in the company with stakes worth $59 million.