Last week saw a pause in the bull market as Wall Street reacted to troubles in the U.S. regional banking sector. Despite closing in the black after a Friday rebound, concerns arose over bad and fraudulent loans at two regional banks, signaling potential deeper issues within the system.

Looking for defensive plays during uncertain times? Consider dividend stocks, known for stability and consistent payouts. Piper Sandler’s analyst Crispin Love has identified two dividend stocks that stand out and are viewed positively by Wall Street analysts.

Annaly Capital (NLY), a leading mortgage REIT, operates primarily in agency mortgage-backed securities. With a diversified model and a solid dividend, NLY offers a 13.6% yield, beating the sector average of 3.3%. Piper Sandler rates NLY as Overweight with an $22.50 price target, suggesting an 8% gain.

Rithm Capital (RITM), a real estate and financial services company, balances mortgage assets with alternative investments. With a 9.3% dividend yield and strong growth potential, RITM is rated as Overweight with a $15 price target by Piper Sandler, pointing to 38.5% one-year gains. All analysts agree with a Strong Buy consensus rating.

Read more at Yahoo Finance: Piper Sandler Eyes 2 Dividend Stocks Offering Yields as High as 13%