Growing concerns over rising inflation and the spread of the COVID-19 omicron variant have caused the markets to be volatile after hitting all-time highs. In these volatile market conditions, we think it could be wise to add high-quality dividend-paying stocks Thor Industries (NYSE:THO), Select Medical (NYSE:SEM), and Tecnoglass (NASDAQ:TGLS) to one’s portfolio. In addition, Wall Street analysts expect these names to advance more than 45% in price in the near term. Read on.The major stock market indexes plunged on Thursday as big tech shares fell sharply, causing the NASDAQ Composite Index to shed 385.15 points or 2.47% to close at 15,180.43. The Dow Jones Industrial Average fell 29.79 points to close at 35,897.64, while the S&P 500 declined 0.8% to close at 4,668.67. The markets have remained volatile as investors gauge economic growth prospects and rising COVD-19 omicron cases.
In November, inflation surged to a 6.8% 40-year high because consumer prices have risen at their fastest clip since 1982. Inflationary pressures have forced the Fed to act, and it promised to halt its pandemic-driven asset purchases early next year, giving way to three interest rate hikes in 2022 to counter the inflation threat. Meanwhile, the omicron variant has spooked investors as top Federal health officials warn that the variant is spreading rapidly and could peak by next month.
Amid this market uncertainty, we think it could be wise to bet on quality dividend-yielding stocks to hedge one’s portfolio against market volatility by ensuring a steady income stream. So, it could be wise to add quality dividend-paying stocks Thor Industries, Inc. (THO), Select Medical Holdings Corporation (SEM), and Tecnoglass Inc. (TGLS) to one’s portfolio. Furthermore, Wall Street analysts expect these stocks to rally more than 45% in price near-term.