Buy 3 High Dividend-Paying Stocks With Attractive Short-Term Returns

Market Overview - September is historically the worst-performing month for U.S. stock markets, with significant losses observed in the first week of September 2024, although the last week showed improvement as the best week of the year [1] - High expectations are set for the Federal Reserve to initiate interest rate cuts in the upcoming September FOMC meeting, with the current rate at a 23-year high of 5.25-5.5% [1] Investment Opportunities - Investment in stocks with high dividend yields and strong short-term price appreciation potential is recommended to enhance portfolio returns [2] Company Analysis: The AES Corp. - The AES Corp. is leading the utility industry's transition to clean energy, completing the construction or acquisition of 976 megawatts (MW) of renewable energy sources in Q2 2024 [3] - AES has signed agreements for 1.2 GW of new data center load and plans to add up to 1,300 MW of renewable energy by 2027 [3] - Expected revenue and earnings growth rates for AES are 0.8% and 8% respectively, with a current dividend yield of 3.72% [3] Price Target for AES - The short-term average price target for AES indicates a potential appreciation of 22.1% from the last closing price of $18.54, with a target range of $19-$25 [4] Company Analysis: Pfizer Inc. - Pfizer is a major player in oncology, with oncology sales contributing over 26% of total revenues and growing 23% operationally in H1 2024 [5] - The company is investing in various therapeutic areas, including oncology, internal medicine, and vaccines [5] - Expected revenue and earnings growth rates for Pfizer are 5.1% and 42.4% respectively, with a current dividend yield of 5.74% [5] Price Target for Pfizer - The short-term average price target for Pfizer suggests a potential appreciation of 13.9% from the last closing price of $29.27, with a target range of $27-$45 [6] Company Analysis: Unum Group - Unum's conservative pricing and strong sales volume have led to profitability, with geographic expansion contributing to growth in acquired dental insurance businesses [8] - The company expects sales growth of 8-12%, premium growth of 4-7%, and adjusted operating EPS growth of 10-15% in the long term [8] - Expected revenue and earnings growth rates for Unum are 4.4% and 10.6% respectively, with a current dividend yield of 3.05% [8] Price Target for Unum - The short-term average price target for Unum indicates a potential appreciation of 16.9% from the last closing price of $55.02, with a target range of $52-$73 [9]