Are we seeing signs of danger in the markets? At first glance, this does not appear to be the case. The S&P 500 is just below its all-time high, as is the Dow Jones average. The big tech giants – Amazon, Apple, Alphabet, Facebook, and Microsoft – all posted excellent results in their recent earnings reports. And yet they are leading the NASDAQ declines. Morgan Stanley equity strategist Michael Wilson says we’re in a volatile race, at least in the short term. “With the S&P 500 hitting new highs every day, few seem worried … rather than cheering for the reopening, we’re increasingly concerned about execution risk and what’s already being factored in.” , Wilson noted. , we will probably hit higher highs next year. The goal as an investor is to navigate … in the transition, avoid the most remote actions and be able to capture the next step. So let’s take this advice and look for ways to protect the portfolio in the short term while staking a longer term position. It’s a strategy that will naturally draw investors to dividend-paying stocks, the classic defensive game. We used the TipRanks database to extract two dividend players who combine strong Wall Street buying sentiment with a yield of at least 7%. Let’s take a closer look. New Residential Investment (NRZ) We’ll start with a Real Estate Investment Trust (REIT), as these companies have a reputation for paying solid dividends. This is in part an artefact of their position on tax regulation; they are required to return a certain percentage of profits directly to shareholders, and the dividend is often a convenient way to comply. New residential investment is typical of its sector, holding an investment portfolio of $ 6 billion, of which just over half consists of mortgage management rights. In its recent 1Q21 financial release, New Residential posted net income of $ 301 million, up from $ 101 million at the end of the fourth quarter. The company declared a quarterly dividend of 20 cents per share; payments totaled $ 82.9 million. At the declared rate, the dividend annualizes to 80 cents per common share, for a yield of 7.5%. This compares favorably to the roughly 2% return of publicly traded companies. NRZ shares have risen 77% in the past 12 months, gaining as the company has gone from net losses at the height of the corona crisis to profitability in the past four quarters. In order to take advantage of the share’s appreciation and raise additional capital, the company announced a public offering of shares in April. The sale generated gross proceeds of $ 522.4 million on 51.7 million shares sold. The funds raised were used to acquire Caliber Home Loans, with plans to integrate the acquisition into NRZ’s wholly owned mortgage origination service. The transaction is expected to close in the third quarter of this year. Covering the action for BTIG, analyst Eric Hagen writes: “[We] believes the company has the capital to acquire wholesale transactions, as some originators potentially seek to offload more thinly capitalized MSRs if the origins volume slows more significantly. He confirmed that the $ 500 million capital raised under the deal with Caliber was approximately $ 0.15 dilutive to NAV, so the book is approximately $ 11.20. The title is less than 0.93x per pound, and about 6.5x the expected earnings assuming a 15% ROTCE. Hagen is pricing NRZ a Buy, and his price target of $ 13 implies a 25% hike for the coming year. (To look at Hagen’s track record, click here) Hagen isn’t aberrant in his bullish opinion here. Of the 10 recent analyst comments on this stock, 9 recommend buying, compared to just one Hold. The average price target of $ 12.69 is almost as bullish as Hagen’s and suggests an increase of about 22% from the current price of $ 10.38. (See NRZ stock market analysis on TipRanks) Enterprise Products Partners (EPD) We’re going to change gears now, and take a look at an energy company. More precisely, an intermediary company. Enterprise Products Partners controls more than 50,000 miles of pipelines, as well as facilities capable of storing 160 million barrels of oil and 14 billion cubic feet of natural gas. In addition, Enterprise has shipping terminals in the state of Texas on the Gulf Coast of Mexico. With the reopening of the US economy, the demand for fuel increased, which increased the flow of fuel into the Enterprise system. The company’s financial data has rebounded from the second half of last year, and the recent 1Q21 report showed $ 9.1 billion on the high line, the best result in the past two years. EPS stood at 61 cents per share, stable year over year, but higher than the last three quarters. Enterprise declared a Q2 dividend of 45 cents per common share, the second consecutive quarter at this level. The current payment is supported by the company’s $ 1.7 billion in distributable cash flow. The annualized payment of $ 1.80 per common share yields a return of 7.7%. Among the bulls is Justin Jenkins, analyst at Raymond James, who sets a strong buy rating on EPD stocks, as well as a price target of $ 26. (To see Jenkins’ track record, click here) Supporting his position, Jenkins writes, “While the Enterprise (EPD) has not been immune to the challenges of the energy industry, the asset base has continued to demonstrate resilience in a challenging environment. Looking ahead, EPD’s unique combination of integration, balance sheet strength and ROI remains best-in-class, in our opinion. We see EPD as arguably the best positioned to withstand the volatility of the landscape … This is a compelling opportunity to gain ownership of one of the best positioned MLPs … Strong Buy consensus rating, backed by 8 purchase recommendations. The average price target, at $ 28.75, is more bullish than Jenkins’ and suggests 24% year-over-year growth potential for EPD. (See EPD Stock Market Analysis on TipRanks) To find great ideas for trading dividend stocks at attractive valuations, visit the Best Stocks to Buy from TipRanks, a newly launched tool that brings together all the information about stocks by TipRanks. Disclaimer: The opinions expressed in this article are solely those of the featured analysts. The content is intended to be used for informational purposes only. It is very important to do your own analysis before making any investment.