Intesa Sanpaolo SpA (ISNPY) Could Be a Great Choice

Getting big returns from financial portfolios, whether through stocks, bonds, ETFs, other securities, or a combination of all, is an investor's dream. However, when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.While cash flow can come from bond interest or interest from other types of investments, income investors hone in on dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.Based in Turin, Intesa Sanpaolo SpA (ISNPY) is in the Finance sector, and so far this year, shares have seen a price change of 49.65%. The company is currently shelling out a dividend of $0.84 per share, with a dividend yield of 4.64%. This compares to the Banks - Foreign industry's yield of 3.2% and the S&P 500's yield of 1.48%.Looking at dividend growth, the company's current annualized dividend of $1.68 is up 13.6% from last year. Over the last 5 years, Intesa Sanpaolo SpA has increased its dividend 4 times on a year-over-year basis for an average annual increase of 61.59%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Intesa Sanpaolo's current payout ratio is 48%, meaning it paid out 48% of its trailing 12-month EPS as dividend.Looking at this fiscal year, ISNPY expects solid earnings growth. The Zacks Consensus Estimate for 2025 is $3.70 per share, representing a year-over-year earnings growth rate of 18.59%.From greatly improving stock investing profits and reducing overall portfolio risk to providing tax advantages, investors like dividends for a variety of different reasons. However, not all companies offer a quarterly payout.For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. Income investors must be conscious of the fact that high-yielding stocks tend to struggle during periods of rising interest rates. With that in mind, ISNPY presents a compelling investment opportunity; it's not only an attractive dividend play, but the stock also boasts a strong Zacks Rank of #2 (Buy).#1 Semiconductor Stock to Buy (Not NVDA)The incredible demand for data is fueling the market's next digital gold rush. As data centers continue to be built and constantly upgraded, the companies that provide the hardware for these behemoths will become the NVIDIAs of tomorrow.One under-the-radar chipmaker is uniquely positioned to take advantage of the next growth stage of this market. It specializes in semiconductor products that titans like NVIDIA don't build. It's just beginning to enter the spotlight, which is exactly where you want to be.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intesa Sanpaolo SpA (ISNPY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks