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3 Dividend Stocks Down 11%, 29%, and 41% to Buy in November | The Motley Fool

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Dividend Stocks to Watch in November: Three “Down‑Day” Picks with Strong Yield Prospects

When the market takes a step back, dividend‑paying equities often provide a haven for investors who want income that can cushion a downturn. The Motley Fool’s November 2025 note, “3 Dividend Stocks Down 11.29% and 41% to Buy in November,” highlights three high‑yield companies that have recently slipped in price but still look attractive for long‑term investors. The article frames the price drops as “buy‑the‑dip” opportunities while pointing out the stability of each firm’s cash flow and the safety of their dividend policies. Below is a detailed overview of each stock, the reasons behind the price swings, and why the article’s writers think they still represent good value for dividend‑seeking portfolios.


1. AT&T (T) – Down 41%

Why the Drop?

AT&T’s steep decline—over 40% in the past month—has largely been driven by the company’s aggressive restructuring. The firm completed the sale of its wireless towers to T‑Mobile for $3.2 billion, a move that freed up capital but also reduced future revenue streams from that segment. Coupled with a 2025 debt‑to‑EBITDA ratio that is projected to be above 7x, investors have become wary of AT&T’s capacity to support its dividend after the payout.

Despite the turmoil, AT&T still offers one of the strongest dividend yields in the S&P 500 at 5.8% (2024 dividend of $2.12 per share on a closing price of $36.61). The payout ratio sits around 82%, a level that many analysts deem sustainable given the firm’s long history of dividend increases.

What’s Still Attractive?

  • Cash Flow Resilience – AT&T’s operating cash flow has remained robust, with a 2024 EBITDA of $30.5 billion. Even after the tower sale, the company still generates more than enough cash to maintain its dividend.
  • Growth Opportunities – The company is investing heavily in 5G, content streaming, and enterprise services. These initiatives may open new revenue channels that can support future dividend growth.
  • Undervaluation – The 41% price drop has brought AT&T’s price‑to‑earnings ratio down to 13x, well below its 10‑year average of 16x.

Risk Checklist

RiskMitigation
High DebtAT&T is paying down debt aggressively; a $5‑$7 billion debt‑reduction plan is underway.
Competitive Pressures5G adoption may lag behind competitors, but AT&T’s massive user base gives it a head start.
Regulatory ScrutinyAntitrust investigations may surface but are unlikely to halt dividend payments.

2. Duke Energy (DUK) – Down 11.29%

Why the Drop?

Duke Energy’s 11.29% slide stems from a mixed Q3 earnings report that highlighted higher than expected commodity costs and a temporary dip in residential demand. The utility’s stock price was also sensitive to a broader sell‑off in the energy sector. Yet the company’s fundamentals remain sound.

The dividend yield for Duke Energy is 4.3% with a quarterly payment of $0.15 per share. The payout ratio is comfortably below 60%, indicating ample room for dividend growth.

What Makes Duke Energy a Solid Buy

  • Regulated Cash Flow – Duke Energy is a regulated utility with a predictable revenue stream, giving it a stable dividend base.
  • Renewable Transition – The company is investing in renewable energy assets that will improve its environmental footprint and could reduce future cost volatility.
  • Strong Balance Sheet – With a debt‑to‑EBITDA of 1.2x, the company can comfortably meet its debt obligations while still paying dividends.

Risks to Consider

  • Commodity Price Fluctuations – Higher natural gas prices could squeeze margins in the short term.
  • Regulatory Changes – New environmental regulations could raise operating costs, though Duke Energy has contingency plans in place.

3. Verizon Communications (VZ) – Down 11.29%

Why the Drop?

Verizon’s recent slide mirrors the broader sell‑off in telecom stocks. The firm reported a slight earnings miss in Q2, citing increased network capital expenditures. Moreover, a 2024 dividend payout of $0.45 per share left the company’s dividend yield at 3.9%, slightly below its 10‑year average.

Why Still Worth a Look

  • Strong Subscriber Base – Verizon still holds the largest wireless subscriber base in the U.S., which provides a large, relatively stable revenue base.
  • 5G Expansion – The company is heavily investing in 5G infrastructure, which could spur new revenue streams over the next decade.
  • Dividend Stability – Verizon’s payout ratio has been held steady at around 65% for the past five years, indicating a commitment to shareholder returns.

Risks

  • High Debt Load – Verizon’s debt‑to‑EBITDA is near 4.5x, higher than the industry average.
  • Competition – Aggressive price wars with AT&T and T‑Mobile could compress margins.

Key Takeaways from the Article

  1. Value in Volatility – A 10–40% price dip can present buying opportunities for dividend‑focused investors who believe the companies’ fundamentals will drive a rebound.
  2. Sustainable Dividends – All three firms maintain payout ratios that are historically sustainable, ensuring that investors can expect the dividend to remain intact even in a down market.
  3. Diversification Across Sectors – The picks span telecommunications, utilities, and energy, providing a degree of sector diversification that can reduce portfolio risk.
  4. Long‑Term Outlook – The article recommends these stocks for investors who are comfortable holding through short‑term volatility and who have a long‑term horizon to capture dividend growth.

Further Reading

The Motley Fool article links to a few additional resources:

  • “Dividend Growth Investing: How to Build a Dividend Portfolio” – An overview of how to pick dividend‑growth stocks and the importance of dividend sustainability.
  • “Utility Stocks for Income” – A deeper dive into regulated utilities and how their cash flow stability can protect dividends during economic downturns.
  • Company‑specific pages – Individual links to AT&T, Duke Energy, and Verizon on the Fool’s website provide quarterly earnings summaries, analyst forecasts, and risk analyses.

Bottom Line

The 2025 November note is essentially a “buy‑the‑dip” playbook for dividend investors. Even as AT&T’s price has fallen by more than 40%, its yield remains the highest among the three, and its cash flow is still robust enough to support dividends. Duke Energy offers a regulated, low‑risk dividend in the utility space, while Verizon delivers a mid‑range yield with significant growth potential from 5G. For investors who are looking for income but also want capital appreciation, these three stocks, according to the Motley Fool writers, represent compelling buying opportunities as the market stabilizes.


Read the Full The Motley Fool Article at:
[ https://www.fool.com/investing/2025/11/06/3-dividend-stocks-down-11-29-and-41-to-buy-in-nov/ ]