- Dividend Brief
- Posts
- Undervalued Refinery Stocks Shine with High Dividend Yields
Undervalued Refinery Stocks Shine with High Dividend Yields
Hello and welcome to Dividend Brief, the 2-times-weekly newsletter focused on dividend investing.
Today, we will look into Amgen, Exelon, and Walmart, highlight a few dividend stocks worth watching as well as share companies that are about to pay a dividend in the next few days.
AI Trades (Sponsored)
Most traders don’t fail because they’re bad—They fail because they run out of time, focus, or funds.
A new AI-powered trading system is changing that. It runs fully automated, emotion-free strategies designed to pass prop firm challenges and unlock $50K to $1M+ in funding.
No capital required. Keep up to 90% of profits.
Disclaimer: Blue Edge Financial makes no representation that any account will or is likely to achieve similar profits. Past results do not guarantee future results. Trading is risky and you should only trade with money that you can afford to lose. This is for educational purposes only not a solicitation to invest.
Pharmaceuticals
Amgen Faces Potential $10B Tax Hit as IRS Expands Investigation
Amgen Inc. (NASDAQ: AMGN) faces a growing tax fight. The IRS claims the company owes $8.7 billion in back taxes plus a $2 billion penalty. The issue stems from how Amgen splits profits between its U.S. and Puerto Rico operations, which the IRS says cut its U.S. taxes unfairly.
The dispute covers 2010 to 2015, with new audits now checking 2016 to 2018, which could increase the bill. Amgen warns that the final cost might be much higher than planned. This big tax problem has already hurt the company’s stock, worrying investors about its future.
This tough tax battle could dent Amgen’s profits, which would pressure AMGN’s stock for investors. A big payout or long fight might limit funds for new drugs, slowing growth.
In addition to taxes, law firms like Bragar Eagel & Squire are probing Amgen’s board for possible mismanagement, adding more trouble. As a top biotech firm, Amgen’s handling of these issues matters to the drug industry.
The company is fighting the IRS claims, but a resolution won’t come quickly. Shareholders are keeping a sharp eye on Amgen’s next steps. The company’s ability to resolve this tax dispute and maintain steady stock performance will shape investor confidence.
AMGN currently trades at $271 and pays a dividend of $9.52 per share, a yield of 3.51%.
Utilities
Exelon Opens 2026 Climate Investment Applications to Boost Clean Tech Innovation
Exelon (NASDAQ: EXC) has opened applications for its 2026 Climate Change Investment Initiative (2c2i), inviting innovative startups to apply for funding to advance clean energy and environmentally sustainable technologies.
Launched in 2019, 2c2i combines venture capital's investment approach with Exelon's commitment to supporting diverse teams working on climate solutions.
This year, Exelon added three new companies to its 2c2i portfolio: Salient Predictions, which uses machine learning for advanced weather forecasting; SusMaX, which recycles waste coal ash into construction materials; and Zero Homes, a software platform for remote heat pump design.
For investors, this initiative reflects Exelon's strategy to stay competitive in the evolving energy market by backing early-stage companies that could provide long-term growth opportunities. It also aligns with the increasing demand for cleaner energy solutions, positioning Exelon as a key player in transitioning to a low-carbon economy.
With climate regulations tightening and global interest in sustainable energy rising, Exelon's continued investment in startups could reinforce its market position while potentially generating significant financial returns as these technologies mature.
EXC currently trades at $46 and pays a dividend of $1.60 per share, a yield of 3.46%.
AI Powered (Sponsored)
What if a trading system could do the work—without emotional mistakes or burnout?
This fully automated AI strategy is helping traders get funded faster, smarter, and with zero personal risk.
It’s designed to meet prop firm rules and unlock accounts ranging from $50K to $1M+.
Best of all, traders keep most of the profits—up to 90%.
Disclaimer: Blue Edge Financial makes no representation that any account will or is likely to achieve similar profits. Past results do not guarantee future results. Trading is risky and you should only trade with money that you can afford to lose. This is for educational purposes only not a solicitation to invest.
Retail
Walmart Backs U.S. Small Businesses with New Growth Program
Walmart (NYSE: WMT)is rolling out Grow With Us, a program to help small U.S. businesses sell products in its stores. The program addresses import tariff challenges and supports entrepreneurs in scaling up.
The initiative includes the Walmart Supplier Academy, which offers 30 online lessons, mentorship, loans, and RangeMe, a platform for displaying goods. Linked to Walmart’s U.S. Open Call, it lets small firms pitch for nationwide distribution. Over 60% of Walmart’s U.S. suppliers are small businesses, strengthening local ties.
This sharp strategy could sidestep tariffs and grow profits, making WMT’s stock a smart investor pick. More local suppliers cut import costs and may win loyal shoppers, boosting sales.
Investors could score big if this program fortifies Walmart’s supply chain. A pro-American image and cheaper sourcing might lift the stock price, promising steady gains. Success could position Walmart as a retail leader, outshining rivals in a challenging trade environment.
If successful, the program could help small businesses set a new retail standard. It also aligns with Walmart’s broader localization strategy, potentially boosting customer loyalty and creating a more stable supply chain.
WMT currently trades at $99 and pays a dividend of 94 cents per share, a yield of 0.95%.
Dividend Stocks Worth Watching
Even as OPEC production hikes flood the market with (cheaper) oil, end-user fuel production has a stovepipe: refineries can only process so much raw crude, meaning they have baked-in market resiliency. However, refiner shares fell alongside broader energy markets this year, creating a unique opportunity to buy in at cut-rate valuations.
PBF Energy (NYSE: PBF) is a small-cap bet on refineries rebounding, but its forward yield is anything but at 5.87% (it boasts a 15% total yield to boot!). The small refining stock is uniquely positioned compared to competitors due to its in-house logistics subsidiary, which helps it maintain control of its value chain and reduce costs as third-party transporters begin hiking prices.
Valero (NYSE: VLO) has a smaller yield than PBF at “just” 3.86%, but it more than makes up for it in terms of size and stability. One of the largest domestic refiners, Valero is shielded from region-specific price fluctuations and has the footprint to mitigate risk from any particular refinery location running into trouble.
Marathon Petroleum (NYSE: MPC) has a whopping 20% total yield, including buybacks, though its dividend distributions are the slimmest on this list at 2.52% forward yield. MPC, in particular, is grossly undervalued relative to its size, trading at just 0.35x sales after a 20% drop since May 2024.
Dividend Increases
GGB increased its dividend payout to 2 cents per share, a 21.7% rise. Its new forward yield is 5.62%.
MSA expanded its dividend payout to 53 cents per share, a 3.9% increase. Its new forward yield is 1.36%.
ACT upped its dividend payout to 21 cents per share, an increase of 13.5%. Its new forward yield is 2.04%.
Dividend Decreases
BWMX lowered its dividend payout to 32.12 cents per share, a cut of 4.9%. Its new dividend yield is 14.91%.
SBR reduced its dividend payout to 44 cents per share, a cut of 12.68%. Its new dividend yield is 8.46%.
BCAT decreased its dividend payout to 28.1 cents per share, a cut of 1.20%. Its new dividend yield is 23.29%.
Smart Automation (Sponsored)
Most traders fail not from lack of skill, but from lack of time, discipline, or capital.
That’s where a fully automated AI trading system steps in—trading smarter, faster, and without emotion.
It helps you pass funding challenges and access prop firm capital from $50K to $1M+.
You keep up to 90% of the profits—without risking your own money.
[Apply Now] — Limited spots open this month
Disclaimer: Blue Edge Financial makes no representation that any account will or is likely to achieve similar profits. Past results do not guarantee future results. Trading is risky and you should only trade with money that you can afford to lose. This is for educational purposes only not a solicitation to invest.
Upcoming Dividend Payers
WMT’s ex-dividend date for its upcoming $0.24 payout is on 5/9/25.
WFC’s ex-dividend date for its upcoming $0.40 payout is on 5/9/25.
IBM’s ex-dividend date for its upcoming $1.68 payout is on 5/9/25.
Everything Else
The mouse is regaining momentum as Disney shares rebounded from a long-term slump.
Target simply can’t keep up with competitors like Walmart and Costco in a price-sensitive consumer market.
Apple hasn’t slashed its dividend yet, but a pause on buybacks could foretell trouble ahead.
Marvell punted its planned investor day presentation, signaling issues with the former AI favorite offering a modest 0.44% dividend yield.
Carmakers are battening the hatches and pulling back on marketing spend, which could indicate cash flow issues (and dividend disruptions) ahead.
That’s all for today’s edition of the Dividend Brief.
Thanks for reading, and if you have any feedback or dividend stocks you want me to take a look at, just reply to this email!
—Noah Zelvis
DividendBrief.com
Legal Stuff: Stocks featured in this newsletter are for entertainment purposes only. You should not base any investment decisions on information contained in my newsletter. Stocks featured in this newsletter may be owned by owners/operators of this website, which could impact our ability to remain unbiased. Please consult a financial advisor before making any trading decisions. I may earn a small commission from links placed inside these emails.