With the market likely to encounter myriad variables this year, investors should really consider dividend stocks to buy. Fundamentally, companies that provide passive income to their stakeholders tend to weather down cycles better than their growth-centric counterparts. Mainly, this is because dividends come from profits – and profitable enterprises tend to enjoy well-established businesses.

Another factor that will benefit dividend stocks to buy centers on economic realities. Recently, Federal Reserve Chair Jerome Powell testified before Congress, opening the door for more and quicker-paced rate hikes. Naturally, the rise in borrowing costs will impose headwinds on growth enterprises. And while dividend payers will suffer too, they should be able to ride the storm better. Finally, to ramp up the probabilities of success, all of the market ideas below enjoy analyst price targets that imply double-digit gains. Therefore, these dividend stocks to buy play both sides of the profitability aisle.

Dividend Stocks to Buy: Ritchie Bros Auctioneers (RBA)

A global asset management and disposition company, Ritchie Bros Auctioneers (NYSE:RBA) offers customers end-to-end solutions for buying and selling used heavy equipment, trucks, and other assets in numerous industries. On the surface, the troubled global economy might seem to imply a poor performance for RBA. However, the stock gained nearly 7% of equity value in the trailing year.

Interestingly, RBA offers an enticing financial profile. Operationally, its three-year revenue growth rate of 10% and a net margin of 18.17% rank within the top 30% of the underlying sector. Also, the company’s price-earnings-growth (PEG) ratio sits at 0.95 times. In contrast, the industry median pings at 1.56 times. In terms of passive income, Ritchie isn’t the most generous with a forward yield of 1.8%. However, its payout ratio sits at 38.93%, presenting confidence for sustainability.

Finally, Wall Street analysts peg RBA as a consensus moderate buy. Further, their average price target stands at $66.60, implying nearly 11% upside potential. Thus, it’s one of the dividend stocks to buy.

Dividend Stocks to Buy: Amdocs (DOX)

A multinational corporation, Amdocs (NASDAQ:DOX) specializes in software and services for communications, media, and financial services providers and digital enterprises. So far this year, DOX encountered some choppy waters, dipping down almost 2%. However, in the past 365 days, DOX returned shareholders nearly 15% of equity value.

As with Ritchie, Amdocs presents some attractive fiscal attributes. Perhaps most notably, DOX enjoys an objectively undervalued profile. Presently, the market prices DOX at a trailing multiple of 20.3. As a discount to earnings, Amdocs ranks better than 61.4% of the competition. In addition, shares trade at a forward multiple of 16. In contrast, the sector median value stands at 24.39. Presently, Amdocs carries a forward yield of 1.93%. Its payout ratio sits below 27%, facilitating confidence regarding yield sustainability.

Turning to Wall Street, analysts peg DOX as a consensus moderate buy. Their average price target pings at $99.75, implying almost 11% upside potential. This too attracts as one of the dividend stocks to buy.

Dividend Stocks to Buy: Deere (DE)

A manufacturer of agricultural machinery and heavy equipment, Deere (NYSE:DE) represents a critical tangential component of national infrastructure. Further, with greater emphasis on core needs such as farming, DE ranks among the most relevant dividend stocks to buy. It’s also a strong performer in the charts. In the past 365 days, DE returned stakeholders almost 15% of equity value.

Overall, this fairly valued enterprise should appeal both for its burgeoning narrative and its operational dominance. For example, its three-year revenue growth rate stands at 11.7%, outpacing 77.35% of its peers. Also, its book growth rate during the same period pings at 23%, above nearly 90% of the industry.

To be fair, the less-than-appealing side for Deere is its passive income. With a forward yield of 1.2%, it’s not the most generous company. However, its payout ratio is only 15.63%, so it can deliver on this passive income convincingly. But don’t go away yet. Analysts peg DE as a consensus moderate buy. As well, their average price target is $472.33, implying 13% upside potential.

Public Storage (PSA)

A self-explanatory business, Public Storage (NYSE:PSA) owns self-storage facilities throughout the U.S. The company structures itself as a real estate investment trust (REIT). Fundamentally, Public Storage addresses the needs of baby boomers looking to downsize but keep certain items. As well, it offers solutions for millennials also looking to downsize to save on escalated residential rents.

To be sure, PSA rates as a more volatile investment among dividend stocks to buy, shedding nearly 18% of value in the trailing year. However, it also might make for an undervalued opportunity. According to Gurufocus.com’s discounted cash flow (DCF) analysis, PSA’s fair value comes out to $488.50. However, the stock’s time-of-writing price sits at $302.35. At the moment, Public Storage carries a forward yield of 3.97%. While more generous than many other companies, its payout ratio is 96.4%. Therefore, caution is warranted. Still, covering analysts peg PSA as a consensus moderate buy. Moreover, their average price target stands at $348, implying 15% upside potential.

Cisco (CSCO)

A multinational digital communications technology firm, Cisco (NASDAQ:CSCO) develops, manufactures, and sells networking hardware, software, telecommunications equipment, and other high-technology services and products. It’s a powerhouse in specialized tech markets such as the Internet of Things. However, it does rank as one of the higher-risk, higher-reward dividend stocks to buy.

In the trailing year, CSCO dropped 10% in equity value. Still, this underperformance probably represents a buy-the-dip opportunity. In the trailing five years, shares gained nearly 8%. Looking at the financials, Cisco benefits from outstanding profit margins. As well, CSCO trades at a forward multiple of 13. As a discount to earnings, Cisco ranks better than 61.63% of the competition. In terms of passive income, Cisco offers a forward yield of 3.19%. Further, its payout ratio is only 38.69%, affording credibility and confidence. Looking to Wall Street, covering analysts peg CSCO as a consensus moderate buy. Moreover, their average price target stands at $56.88, implying over 16% upside potential.

Garmin (GRMN)

A multinational tech firm, Garmin (NYSE:GRMN) specializes in GPS technology for automotive, aviation, marine, outdoor, and sports activities. Furthermore, the company invested heavily in wearable technologies such as activity trackers and smartwatches. Since the Jan. opener, GRMN posted a decent performance, gaining 5% of equity value. However, in the past 365 days, it’s down almost 11%.

According to Gurufocus.com’s proprietary calculations for fair market value (FMV), Garmin represents a modestly undervalued investment. For me, the operational strengths distinguish themselves. As an example, its three-year book growth rate stands at 8.8%, outpacing 63.45% of the field. Also, the company’s net margin is 20%, above 92.38% of sector peers.

Right now, the company carries a forward yield of 2.97%. Its payout ratio of 51.48% is a bit elevated but still a decent sustainable figure. Lastly, covering analysts peg GRMN as a consensus moderate buy. As well, their average price target stands at $119, implying 21% upside potential. Therefore, it’s an enticing candidate for dividend stocks to buy.

Kelly Services (KELYA)

An American office staffing company, Kelly Services (NASDAQ:KELYA) also operates globally. Fundamentally, with mass layoffs accelerating, Kelly Services offers natural relevancies. As well, the company doesn’t just focus on white-collar work but also warehouse opportunities. You never know – office worker bees might get tired of sitting in front of a computer all day.

To be fair, though, prospective investors will need patience with KELYA. In the past 365 days, shares dropped over 12% in equity value. However, it’s also objectively undervalued. Presently, KELYA trades at a forward multiple of 10.93. As a discount to earnings, Kelly Services ranks better than 70.19% of its rivals. Also, the market prices KELYA at 0.13 times trailing sales. In contrast, the sector median value is 1.18 times. Currently, Kelly carries a forward yield of 1.78%. Though a bit low, its payout ratio sits at 16.85%, giving stakeholders plenty of confidence.

Finally, the big reason to consider KELYA as one of the dividend stocks to buy. Analysts anticipate shares hitting $24, implying upside potential of over 42%.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.