Dividend Aristocrats are the premier companies in the S&P 500 that have increased their dividends for at least 25 consecutive years, among other qualifications. From that definition alone, you can expect good companies with stable growth, global market reach, and/or resilient business models.
Another thing you might gather from the definition is that these companies don’t usually come cheap - and you’d be 100% right.
That’s why finding Dividend Aristocrats trading at oversold or near-oversold territory can be an excellent opportunity to snag quality stocks with consistent, reliable income at a discount. However, finding such stocks - or indeed, identifying the right time to look for them - might present a challenge.
Well, you’re in luck, because today, I’ll show you three Dividend Aristocrats trading around oversold territory. And, as a bonus, I’ll also show you how to look for them yourself.
How I Came Up With The Following Stocks
As usual, I started the analysis using Barchart’s Stock Screener tool. Once there, I added a few simple filters:
- Current Analyst Rating: 4 (Moderate Buy) to 5 (Strong Buy). The Current Analyst Rating filter tracks and averages ratings from Wall Street analysts. A score of 4-5 means that most analysts are bullish on the stock, particularly expecting positive price movement within the next 12 months.
- 14-Day Relative Strength Index (RSI): Below 40%. The Relative Strength Index (RSI) is a popular technical indicator that measures a stock’s price movement over a given period (typically 14 days) and plots it on a scale of 0 to 100 to gauge momentum. A reading of 30% or below suggests that the stock is oversold, while a reading of 80% or above indicates overbought action. Setting the filter to look for stocks trading at 40% or below the RSI gives me a list of stocks that show signs of momentum weakness, which may present attractive entry points - perhaps recently rising from oversold territory, or moving towards it, but not necessarily dipping below.
- Watchlist: Dividend Aristocrats. Lastly, I have several watchlists for different stock types, which I can use to limit or expand my analysis. For today, I’m sticking with Dividend Aristocrats.
With those filters, I got exactly three companies after running the screen.
I then arranged the list from lowest to highest 14-day RSI. Now, let’s start with the first one:
Amcor plc (AMCR)
Amcor plc is a multinational packaging company that specializes in producing different types of containers, including flexible containers, rigid materials, and specialty cartons. The company services a wide range of industries, including (of course) food and beverage, healthcare and pharmaceutical, home and personal care, and other specialty brands.
On August 14, the company released its Q4 and FY’25 financials, and unfortunately, their quarterly bottom-line numbers missed estimates by nearly 5%. Amcor previously met analyst expectations in the last three quarters, making this earnings miss a devastating surprise for its stock price, causing it to fall from $9.68 to a new 3-month low at $8.43.
The sudden drop in AMCR’s stock price also brought its 14-day RSI tumbling to 32.35%, though the stock is currently trading near a support level. To me, I see it as a buying opportunity.
For those interested, Amcor pays 50.8 cents annually, which translates to an approximate 6% yield. Analysts are also cautiously optimistic about the stock, rating it a Moderate Buy.
Walmart Inc (WMT)
Next up is Walmart, one of the world's largest retailers. The company’s massive brick-and-mortar presence in the US and extensive global supply chain give it a significant advantage over most of its competitors. Its growing omnichannel strategy is also beginning to yield results, with global eCommerce growing 25% year-over-year according its last quarterly financials (released August 21, 2025).
However, like Amcor, Walmart missed earnings expectations by nearly 7%, causing its stock price to tumble to $96.05 and its 14-day RSI to dip to 38.51%.
Today, WMT stock pays 94 cents annually, reflecting around a 0.98% yield. And, despite the earnings miss, analysts continue to reiterate their Strong Buy rating on the stock.
Cardinal Health (CAH)
Last on the list is Cardinal Health, a healthcare services and products company that distributes pharmaceuticals, manufactures medical and surgical products, and operates logistics and supply chain solutions for medical facilities in the US.
Similar to the first two Dividend Aristocrats, Cardinal Health’s recent price drop from $157 to as low as $137.75 between August 11 and 12, 2025, was due to the company missing revenue estimates by a measly 1%. However, CAH stock has since regained ground and is now trading at $147.49.
As for dividends, the company recently increased its payouts to $2.044 per share, per year, which yields approximately 1.38%. Analysts also rate the stock a Strong Buy, which signals a belief in further recovery.
Final Thoughts
Sometimes, stock price drops are opportunities in disguise. As the Oracle of Omaha says, “Be greedy when others are fearful.”
Still, the stock market remains fluid. Although these stocks have received excellent Wall Street ratings, and I’m confident that these dips are temporary, I freely admit that I might be wrong. So, if I were you, I’d monitor these positions closely for any new developments.
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.
