2 High-Yield Dividend Stocks Near 52-Week Lows: Are They Buys Now?

Group 1: Western Union - Western Union's stock has decreased by over 50% since its peak in 2020, with a current dividend yield of 7.9% [3][4] - The company processed 293.2 million consumer money transfer transactions in the second quarter, a 4% year-over-year increase, but only a slight rise from 2019 [3][4] - Revenue fell by 9% year-over-year in the second quarter, impacted by a 7% decline in revenue due to Iraq's ban on dollar transactions [4][7] - Western Union is losing market share to competitors like Wise, which reported an 18% increase in transfer volume [6] - The stock is trading at a low valuation of 7.4 times trailing earnings, but earnings are declining as market competition increases [8] Group 2: Royalty Pharma - Royalty Pharma operates as a specialized lender in the biopharmaceutical industry, currently offering a 3% dividend yield [9] - The company has seen portfolio receipts grow by 13% annually from 2010 to 2020, with a 12% year-over-year increase to $608 million in the second quarter [10][11] - Royalty Pharma has raised its quarterly payout by 40% since initiating dividends in 2020 and plans to invest $2 billion in acquiring royalties in 2024 [11] - The company is trading at 18.6 times trailing earnings, which is considered low for its double-digit growth rate [12]