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With a new trading month already in full swing, it is time, once again, to highlight some of my potential stock purchases. While the market had a nice bounce in recent months, there is still no shortage of stocks that are becoming fairly valued to undervalued.

The reality is that we’ll continue to see stock prices continue to come down as interest rates rise. There is no reason to believe interest rates will stop climbing anytime soon. Of course, the silver lining amid the current market collapse is that every new dollar put to work today in dividend stocks comes with an automatic higher yield when compared to just a few months ago.

This month, I have a very short list as I’m only looking at two potential buys. Of course, we all know that the market can swing wildly and new opportunities may come up that I’m not currently considering. With that being said, let’s take a look at my February 2023 stock considerations.

First up, I am looking at Verizon Communications Inc. (VZ) once again. I nibbled here a bit in November and December, and prices are still looking attractive. This stock has been trading with a low forward PE of just over 8, and it sports a very juicy yield close to 6.3% and a moderate payout ratio of around 51%, making this dividend appear to be very safe going forward.

I realize that this company may not be a growth machine going forward, but what it lacks in growth the current yield makes up for. Verizon Communications has climbed back quite nicely from its lows in the last couple of months.

Finally, I am taking a look at GSK plc (GSK). This stock seems to recently be trading at a fair value with a forward PE of just 9.6. The yield is also relatively high, well north of 5%. It also appears to be safe based on its moderate payout ratio of around 69%.

What do you think about my stock considerations for February? This is a much smaller list when compared to other months, but it is still a list of potential buys nonetheless. As readers know, I make purchases every month and simply dollar-cost average them into my portfolio. What are you looking to buy in February?

More By This Author:

Dividend Income Update December 2022
January 2023 Stock Considerations
Dividend Income Update November 2022