Most U.S. investors never look beyond domestic stocks for dividend income, and the reasoning, at least on the surface, seems logical. Given currency risk, unfamiliar names, differing accounting standards, and the perception that international markets are riskier and/or less transparent, this lack of consideration seems reasonable. However, as a result of this same consideration, this bias ultimately leaves money on the table, and while US dividend stocks infrequently reach 4-5% yields without serious risk, international markets offer established companies with sustainable business models
All of the major Wall Street firms we cover here at 24/7 Wall St. have a list of the top stock picks for their institutional and retail clients to invest in. Typically, these are companies that analysts have a high level of conviction in and feel strongly about their fundamentals and forward-looking prospects. In addition, they often have good upside to the assigned price target and are bestowed with either a Buy or Overweight rating, depending on the company providing the coverage.