SDOG: High Yields, Low Valuation, But A Mixed Track Record

  • The ALPS Sector Dividend Dogs ETF (SDOG) targets high dividend-paying U.S. large-cap stocks across sectors, offering income-focused, diversified exposure with a structural tilt toward mature, higher-yielding sectors. SDOG trades at a significant discount to the S&P 500 with a forward P/E of 12.7x but exhibits lower earnings growth and profitability compared to the benchmark. Despite its high dividend yield of 4.0%, SDOG has a mixed performance record, higher volatility, and lower dividend growth compared to peers, warranting a cautious outlook.