5 years from today, you might wish you bought these dividend shares now! | news

Looking back at some dividend stocks and thinking: man, I would have grabbed them five years ago. Perhaps there was an unsurpassed assessment at the time. Or solid growth. No matter what it is. Unfortunately, we can no longer turn back the hands of time.

And many stock prices do just that. Some dividend stocks have fallen back to valuations we last saw several years ago. Today, let’s take a look at two exciting names that in five years’s you might wish you had bought today.

Allianz: dividend stock that makes you want to turn back time?

To me, a first dividend stock that you might want to turn back time in five years is there alliance (WKN: 840400). There are primarily basic reasons for this in a business model that is actually very intact. Europe’s largest insurance company should be timeless. Whether there is growth in inflation times or initially moderate declines? Back to see.

However, the Allianz share is now valued at less than 10 times earnings on an adjusted basis with a dividend of 6%. The current share price of 176 euros is also below the book value per share. It shows me: Valuation is now very, very cheap.

Of course, the fiscal year 2022 is not exactly easy for the dividend stock. Allianz has largely settled the requirements for the Structured Alpha funds this year. In addition, you are losing your business in Russia and there have already been the first major damages. Nevertheless: The latter is at least an insurance company’s business model.

On an adjusted basis, Allianz management expects solid earnings growth, at least according to the medium-term forecast. This should also increase the yield per. share consistently. If this succeeds and the DAX insurance company becomes a dividend growth stock, the chances are not bad that over the next five years you may regret not grabbing this dividend stock now.

Innovative industrial properties: Once in a lifetime?

Whose Innovative industrial properties (NYSE: BA) is a once-in-a-lifetime dividend stock is another question. There are certain things that you should also consider on the risk side. Cannabis is a relatively young industry. In addition, short sellers recently criticized the business model. Vacancies would be possible if the economic cycle went downhill.

But there is also a downside: Innovative Industrial Properties is currently valued at over 6% dividends. The price-to-FFO ratio is also below 15. With dividend growth in the clear double-digit percentage on an annual basis, it is certainly not wrong. Funds from operations per. share has also recently grown by 38%. Figures for the second quarter await as part of the reporting season.

The dividend stock is already showing signs of further growth. Finally, in the last few weeks, management has again invested in real estate and its acquisitions. So growth and valuation are not really related at the moment. So I think there’s a chance (with reasonable risk) that you may regret not buying this dividend stock now.

Article 5 years from today you wish you had bought these dividend shares now! appeared for the first time on The Motley Fool Germany.

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Vincent owns shares in Allianz and Innovative Industrial Properties. The Motley Fool owns shares in and recommends Innovative Industrial Properties.

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