The Ultimate Contrarian Plays: 7 Hated Stocks Yielding Up To 12.9%

Core Viewpoint - The article discusses the potential investment opportunities in high-yield dividend stocks that are currently out of favor with Wall Street analysts, suggesting that these stocks may be worth investigating for contrarian investors [1][2]. Group 1: High-Yield Dividend Stocks - Seven dividend-paying stocks with yields up to 12.9% are highlighted, all of which are disliked by Wall Street analysts, indicating a potential contrarian investment opportunity [2]. - Xerox (XRX) offers a 7.2% yield, but its dividend has remained stagnant at $0.25 per share since 2017, reflecting a lack of growth and a prolonged downtrend in stock value, losing 25% in 2024 [3]. - Western Union (WU) has a 7.1% yield and has struggled against competitors, with a frozen dividend for several years. Despite a challenging outlook, shares have increased by 25% from spring 2023 lows, and the company is showing signs of progress with its "Evolve 2025" initiative [4][5]. - Alexander's (ALX) is an office REIT with an 8.3% yield, which has seen its stock value drop significantly due to COVID-19. The company has improved its funds from operations (FFO) coverage in Q1 2024, indicating potential recovery [6][7]. - Peakstone Realty Trust (PKST) has a 6.0% yield and has faced a nearly 60% decline since going public in April 2023. The company is repositioning its portfolio, which may improve its long-term prospects [8][9]. - National Storage Affiliates Trust (NSA) also has a 6.0% yield and has been affected by high home prices and interest rates. However, its dividend is well-covered at 89% of estimated 2024 FFO, and stock prices have been gradually improving [10]. - Buckle (BKE) offers a 10.0% yield but has a bearish analyst sentiment with one Hold and one Sell. Despite weaker operations, the company is expected to resume profit growth next fiscal year [11]. - Prospect Capital (PSEC) has a 12.9% yield but a poor track record with multiple dividend cuts. It trades at a significant discount to NAV, indicating deep value pricing despite analyst pessimism [12].