Thanks for joining DividendStocks.com, the daily newsletter built for dividend and income investors like you. We’re thrilled to have you on board and can’t wait to help you discover the best dividend opportunities out there. Before we can start sending your daily insights, please take a quick moment to confirm your subscription: Click Here to Confirm Your Subscription to DividendStocks.com Here’s a small glimpse of what you’ll get access to: Dividend Stock Ideas — Each newsletter features dividend stocks with high yields, sustainable payouts, and strong growth potential. Ex-Dividend Stocks — Want to capture upcoming dividend payouts? Find out which stocks are going ex-dividend this week. Market News and Events — Stay in the loop on the latest developments impacting popular dividend names like AT&T, Exxon Mobil, IBM, Procter & Gamble, and Verizon. Bonus: As a thank-you for confirming, you’ll also receive a free PDF copy of Automatic Income, our popular guide to building wealth through dividend investing. Why wait? Let’s get your dividend journey started! Click Here to Start Discovering Top Income-Generating Stocks See you in your inbox soon,
The DividendStocks.com Team P.S. Don’t miss out click here to verify your subscription and secure your daily dividend insights and your free investing guide!
Additional Reading from MarketBeat These 3 Stocks Trade at Discounts the Market Won't Ignore ForeverSubmitted by Dan Schmidt. Date Posted: 1/5/2026. 
Article Highlights - The S&P 500 posted another gain above 15% in 2025, but the market is now approaching historically concerning valuation levels.
- When valuations are elevated, slowing earnings growth is harshly punished, and investors often turn to value stocks for safety.
- These three large-cap stocks all trade well below their industry-average P/E ratios, which could help protect against market volatility in 2026.
The S&P 500 wrapped up 2025 with a total return of about 18% — the third straight year above historical norms, but below the blowout 25% returns of 2023 and 2024. AI euphoria remains the dominant market theme entering 2026, and the usual suspects like NVIDIA Corp. (NASDAQ: NVDA) and Alphabet Inc. (NASDAQ: GOOGL) were higher again on the first trading day of the year. If you've ridden the AI rally since the market bottomed in 2022, you're likely sitting on substantial gains and may be looking to diversify, especially if you have a tech-heavy allocation. The S&P 500 is entering the year trading at about 26x forward earnings, a noticeable premium to its 20-year average of roughly 16x. When valuations are this elevated, investors become hungry for earnings growth, and high-multiple stocks can fall out of favor quickly if growth cools even slightly. If rates remain high, value investing could stage a comeback in 2026. The Elon Musk "Mystery Metal" That Could Break China's Grip
Trump called America's rare-earth dependence a "national emergency." But one potential breakthrough… quietly engineered by Elon Musk… could end that crisis forever. And one tiny company is sitting at the center of it all. Musk is expected to make an announcement any day now. See more about this secret project here. Below are three ways to de-risk a portfolio by adding stocks that look undervalued and overlooked heading into the new year. Each company trades at a meaningful valuation discount to its industry average, yet both fundamental and technical tailwinds suggest those discounts may not last. Comcast: Strong Balance Sheet and Sports Expansion Enhance Outlook Comcast Corp. (NASDAQ: CMCSA) was among the biggest victims of the cord-cutting revolution, as customers migrated away from expensive cable bundles toward a la carte streaming options. CMCSA is now approaching a "lost decade" for shareholders — its share price is roughly where it was in May 2016. But cord-cutting fatigue is setting in: streamers are raising prices and getting into costly disputes with major networks. Meanwhile, Comcast has quietly built a solid balance sheet and diversified revenue streams. Its forward price-to-earnings (P/E) ratio of about 6.84 is well below the communications-industry average (16.5) and far lower than major competitors like The Walt Disney Co. (NYSE: DIS) and AT&T Inc. (NYSE: T). 
Comcast's broadband business is a steady, high-margin cash flow engine. Despite Connectivity and Platforms revenue slowing 1.4% year-over-year (YOY) in Q3 2025, the EBITDA margins for the residential and business segments were 37% and 56%, respectively. Advertising should also get a boost in 2026 — NBCUniversal holds rights to Super Bowl LX, the FIFA World Cup and the Winter Olympics in Italy. The company generated $4.9 billion in free cash flow in Q3, which continues to support its 4.4% dividend. Comcast's value story may not remain a secret: the stock is up nearly 10% over the past 30 days, and several technical signals point to further upside. Micron: An Essential AI Stock Trading at a Deep Discount How can a stock that just delivered roughly a 200% gain in a year still look undervalued? Despite its surge in 2025, Micron Technology Inc. (NASDAQ: MU) remains one of the more reasonably valued names tied to the AI boom, trading at about 29x earnings while the broader tech cohort sits near 75x. A P/E of 29 isn't cheap compared with the broader market, but it looks attractive given Micron's growth profile. Micron is generating roughly 57% year-over-year quarterly revenue growth, posting about 57% gross margins and repeatedly raising guidance on conference calls. 
Memory chips are high-margin products, and Micron's management has said the company is struggling to keep up with strong demand from data centers. The chart shows a healthy uptrend with support near the 50-day simple moving average (SMA). That aligns with the TradeSmith Health indicator — MU shares are in the Green Zone, signaling a robust trend with normal, healthy pullbacks. Pfizer: Fueling Pipeline Innovation Through Acquisitions Shares of healthcare giant Pfizer Inc. (NYSE: PFE) have lagged since the COVID-19 pandemic receded; the stock is down more than 30% over the past five years. Competitors like Eli Lilly and Co. (NYSE: LLY) have raced ahead thanks to obesity drugs such as Mounjaro. Meanwhile, Pfizer is trading near historically low valuation levels (about 8.4x forward earnings), making it cheaper than most large-cap pharmaceutical peers. The company's acquisition of Seagen is beginning to bolster its oncology division, adding more than $6 billion in revenue since the deal closed in 2023. 
Although Pfizer was slow to pivot into the obesity-drug market, it now has a meaningful pipeline after acquiring two smaller drugmakers with oral and injectable candidates. The market has largely written Pfizer off in this space, which helps explain the valuation gap. Low expectations can create opportunities — the stock hasn't priced in a successful Pfizer entry into the GLP-1 market. And with a low valuation and a history of dividend growth, Pfizer offers defensive appeal for risk-conscious investors.
| 
