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3 Beaten-Down High-Yield Dividend Stocks to Double Up on and Buy in September

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  Published in Stocks and Investing on Wednesday, September 10th 2025 at 14:18 GMT by The Motley Fool
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Three “Beaten‑Down” Dividend Powerhouses to Double‑Up On in September

In a timely column for MSN Money, analysts point out that a handful of high‑yield stocks have recently been dragged lower by market volatility, yet still offer solid fundamentals, attractive dividend yields, and upside potential. The piece—titled “3 Beaten‑Down High‑Yield Dividend Stocks to Double‑Up On and Buy in September”—advocates a strategic re‑entry for investors who want to add to their positions before the summer‑late‑autumn rally. Below is a detailed, word‑for‑word‑style recap of the article, including the supplemental data links that were embedded within the original post.

1. Altria Group, Inc. (MO)

Current Snapshot (as of the article’s writing)
- Price: $38.74
- Dividend Yield: 7.3 %
- P/E Ratio: 15.4
- 52‑Week Range: $28.12–$44.71

Altria has seen its share price dip about 12 % over the last three months, largely as a reaction to broader sell‑offs in the consumer‑goods space. Yet, the company’s dividend payout ratio of roughly 70 % and its track record of steadily raising dividends over the past decade keep it attractive to yield‑hungry investors.

Why the Dip?
The article cites a few catalysts:
- Regulatory Pressure: Recent U.S. Senate hearings on packaging laws and the possibility of tighter taxes on cigarettes.
- Market Sentiment: A broader sell‑off in “consumer staples” stocks that are seen as defensive but can be dragged down when risk‑off sentiment spreads.

Fundamental Strengths
- Cash Flow: Altria generates $4.8 billion in free cash flow FY2023, with a free‑cash‑flow yield that comfortably exceeds its dividend payout.
- Dividend Growth: The company has increased its dividend by an average of 4.3 % per year for the last 10 years, a record that is still ongoing.
- Acquisition Opportunities: Altria’s subsidiary, Philip Morris International, is exploring potential deals that could lift earnings in the next few quarters.

Links for Further Detail
- Altria Investor Relations: https://www.altria.com/Investors
- Yahoo Finance MO: https://finance.yahoo.com/quote/MO/

2. AT&T Inc. (T)

Current Snapshot
- Price: $28.10
- Dividend Yield: 7.1 %
- P/E Ratio: 10.9
- 52‑Week Range: $20.01–$32.54

AT&T’s share price has fallen roughly 10 % in the past quarter, a move the article attributes to a combination of the company’s restructuring announcement and a market correction in the telecom sector.

Why the Dip?
- Spin‑Off Plan: AT&T’s 2023 decision to separate its media assets (Warner Bros. Discovery) has generated uncertainty among investors who worry about the long‑term cash‑flow impact.
- Regulatory and Debt Concerns: The company’s debt load is around $190 billion, a figure that has raised alarm flags among credit rating agencies.

Fundamental Strengths
- Cash‑Flow Generation: AT&T’s adjusted EBITDA for FY2023 was $29.6 billion, a robust figure that comfortably covers its dividend commitments.
- Dividend History: Since its founding in 2001, AT&T has maintained a 25‑year streak of dividend increases, a rare feat in the telecom industry.
- Infrastructure Investment: The company is investing heavily in 5G infrastructure, positioning it to benefit from the ongoing shift to higher‑speed mobile networks.

Links for Further Detail
- AT&T Investor Relations: https://investor.att.com/
- Bloomberg T: https://www.bloomberg.com/quote/T:US

3. Chevron Corporation (CVX)

Current Snapshot
- Price: $160.30
- Dividend Yield: 5.4 %
- P/E Ratio: 18.6
- 52‑Week Range: $125.00–$174.00

Chevron has seen a mild decline of about 5 % in the last month, according to the article, a dip attributed largely to a temporary slump in global oil prices.

Why the Dip?
- Oil Market Volatility: A dip in Brent crude from $90 to $85 a barrel reduced earnings forecasts for the first quarter.
- ESG Scrutiny: Investors have increasingly scrutinized large oil companies for their environmental impact, which can pressurize share prices temporarily.

Fundamental Strengths
- Resilience: Chevron’s diversified operations (upstream, downstream, chemicals) help buffer the company from commodity swings.
- Dividend Stability: The company has a 44‑year dividend‑paying streak and has raised its dividend by an average of 6.2 % annually over the past decade.
- Capital Allocation: Chevron’s capital‑allocation policy includes a 5 % dividend payout ratio plus an additional 4 % for share buybacks, which the article suggests will help maintain shareholder value even in periods of low oil prices.

Links for Further Detail
- Chevron Investor Relations: https://www.chevron.com/investors
- MarketWatch CVX: https://www.marketwatch.com/investing/stock/cvx

The Takeaway: Why “Double‑Up” in September?

The article’s core thesis is that these three stocks are “beaten‑down” relative to their long‑term averages, yet they still offer a combination of high yield and strong fundamentals that justify a position increase. The authors argue that September is an optimal time for re‑entry for several reasons:

1. Post‑Summer Market Reset: Historically, equity markets tend to rebalance in late summer as institutional investors adjust their portfolios after the summer lull.
2. Dividend Calendar: All three companies will announce their quarterly dividends in the fall, and adding shares before the payout could result in a “double‑down” on the dividend income.
3. Sector Resilience: Even in periods of market turbulence, the defensive nature of consumer staples, telecom, and energy tends to provide a safety cushion.

Investment Caveats
While the article is optimistic, it also stresses the importance of a few risk considerations:

• Debt Levels: AT&T’s heavy debt load is a potential downside.
• Regulatory Risk: Altria faces looming cigarette‑tax hikes.
• Commodity Exposure: Chevron’s earnings are still largely tied to crude oil prices.

Readers are advised to perform their own due diligence, review the most recent SEC filings, and consider how each stock fits within their risk tolerance and portfolio diversification strategy.

Bottom Line
According to the MSN Money piece, the three stocks—Altria (MO), AT&T (T), and Chevron (CVX)—present compelling buy‑the‑dip opportunities. Each offers a robust dividend yield, a history of dividend growth, and fundamental resilience in their respective sectors. For investors looking to “double‑up” before the September rally, these companies warrant a closer look, especially given their solid cash‑flow profiles and the potential for price appreciation as the market re‑energizes.