These 3 Dividend Kings Could Skyrocket Before the Next Market Rally

Bullish - green stock market chart with arrow up day trade by Quality Stock Arts via Shutterstock

Just the mention of US tariffs is enough to send markets up or down with force unseen since the beginning of the pandemic.

This figurative “rollercoaster” is wreaking havoc on the global market, sending investors into a panicked selling frenzy one moment and then into a buying spree the next. These days, stability is highly sought after, but how exactly do you navigate through this turbulent market without exposing yourself to too much risk? 

Well, I’ve got the answer. 

Dividend Kings are companies that have increased their dividends each of the past 50 years. They've also served as safe havens for investors for the same length of time it takes to earn the title. The problem? Companies on the Dividend Kings lists usually have low dividend yields, and these companies aren't cheap. Indeed, none of these companies will be embryonic “hopefuls” like Amazon in 2000.

That said, the increased volatility in April 2025 offers long-term, risk-averse investors an excellent opportunity to buy quality names at a discount. All you need to do is find which ones are getting hammered by the market through overselling - and that’s what I’ll show you today. 

How I Came Up With The Following Dividend Kings

With Barchart’s Stock Screener tool, I used the following filters to get my list of oversold Dividend Kings: 

  • Watchlists: Kings. I keep several watchlists on Barchart, which I update whenever necessary. Today, I’m just looking at Kings. 
  • 14-Day Relative Strength Index: Less than 40%. The relative strength index, or RSI, uses a 100-point scale to indicate whether a stock is oversold (below 30) or overbought (above 70). 40 is a good value for finding companies that are either near oversold or have just emerged from their oversold territory, striking a nice balance for rebound plays. 
  • Annual Dividend Yield: Left blank so they appear on the results screen. 
  • Current Analyst Rating: Moderate Buy (3.5) to Strong Buy (5). 

With these filters in place, I ran the screen and got six results: 

I then arranged the results from lowest to highest 14-day RSI and took the top three to get the most oversold Dividend Kings today.

Stanley Black & Decker Inc (SWK)

14-day RSI: 36.10%

The first company on this Dividend Kings list is Stanley Black & Decker, a company that manufactures power tools and outdoor products. Formerly known as The Stanley Works, the company’s Tools & Outdoor division produces electric power tools and equipment, while the Industrial segment develops fasteners and other engineered materials. The products are sold under the DeWalt, Craftsman, and Husky brands to customers in North America, South America, Europe, and Asia.

Net sales for Q4’24 totaled $3.72 billion, flat year-over-year (YOY). The Tools & Outdoor division reported a 2% YOY increase in net sales, however, this was offset by a 15% drop in net sales from the Industrial segment. Still, diluted earnings per share increased to $1.28, swinging from a loss of $2.03 the previous year. 

The company pays a forward dividend of $3.28 per year, which yields around 5.3%. Meanwhile, analysts are relatively optimistic about the stock, rating it a moderate buy with a high target price of $120, suggesting the stock could almost double over the next year. 

Tennant Company (TNC)

14-day RSI: 36.52%

Next on the list of Dividend Kings is a cleaning industry giant, Tennant Company (TNC). Tennant produces floor maintenance and sustainable cleaning technologies, aftermarket parts, equipment financing, rental, and leasing, as well as asset management solutions under the Tennant, Nobles, Alfa Uma Empresa, Gaomei, and Rongen brands. The company sells its products and services to contract cleaners and businesses in the Americas, EMEA, and Asia.

Tennant reported mixed numbers for Q4’24, with net sales increasing by 5.6% but net income falling by as much as 79%. Its full-year guidance for 2025 also came with an expected 1% to 4% decline in organic net sales, which could realistically be a response to economic uncertainty. 

Still, there’s a lot to like about TNC. Analysts set its high target price to $143 - suggesting a 98% potential upside over the next year. The company has increased its dividends for 53 years, and its forward dividend is $1.18, which yields around 1.6% from the stock's latest trading prices.

Target Corp (TGT)

14-day RSI: 37.80%

Last on the list is retail juggernaut Target. This Dividend King is a department store operating over 2,000 locations that offers a range of products, including food and beverages, apparel, home improvement products, household essentials, electronics, and seasonal items. Target channels its merchandise through its physical and online stores. 

In Q4’24, Target reported sales of $30.92 billion, down 3.1% from $31.92 billion in the same period last year. Comps were up 1.5% in the fiscal fourth quarter, reflecting a comparable store sales decline of 0.5% and an 8.7% growth in comparable digital sales. Overall, Target's bottom line exceeded analyst expectations by 7%

Meanwhile, the company pays a forward annual dividend of $4.48, translating to an approximate 4.7% yield. Analysts peg TGT’s high target price at $188, which represents around a 98% upside potential. 

Final Thoughts

Buying these Dividend Kings at their current levels gives you a chance to take part in their recovery. Even capturing a fraction of that upside could offer meaningful returns, especially with the added cushion of dividend income. However, always remember that while analysts have a lot of data to work with, they’re just human like you and me. Always do your due diligence before investing in ANY stock because, at the end of the day, it’s your money that’s on the line. 


On the date of publication, Rick Orford did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.