There's a few high-dividend stocks with strong upside potential that investors can tap into as the widely anticipated rate-cutting cycle begins. The Federal Reserve is set to cut interest rates Wednesday for the first time in four years, which should make the yields for dividend stocks even more attractive, lifting the group.
McDermott maintained his overweight rating and forecasted a 28% potential upside for Exxon in a Monday note. "The majors offer more resiliency to lower commodity prices with strong balance sheets and integrated, global operations," McDermott said, noting that the energy sector has also lagged the broader market by nearly 10% during the third quarter due to a weakening crude supply-demand outlook and worries over a possible economic slowdown. Devon Energy , meanwhile, has a 5.