The S&P 500 Is Expensive, but These 3 Dividend Stocks Still Look Like Bargains

The article argues that while the S&P 500 looks expensive after an 11% year-to-date gain driven by tech bullishness, select dividend-paying stocks still present value opportunities. It highlights AbbVie, CVS Health and Verizon as bargains based on low forward P/E multiples, strong free cash flow and sustainable dividends. AbbVie is noted for roughly $20B in trailing 12‑month free cash flow and a 3.3% yield; CVS has improved fundamentals with $7.4B FCF vs. $3.4B paid in dividends and a 2.9% yield; Verizon offers the highest yield at 5.9%, ~70% payout ratio, nearly $20B FCF and expects adjusted earnings growth of 5–6%. Market takeaway: investors concerned about stretched overall index valuations might rotate toward these value/dividend names for income and downside protection.