An ideal portfolio is a mix of dividend and growth stocks. Blue-chip stocks offer stable dividend and capital protection through a low-beta. In general, investing in growth stocks is for maximizing capital gains. However, there are high-dividend growth stocks that add diversity to the portfolio.

If business developments remain positive, these growth stocks can be dividend aristocrats in the coming years. The macroeconomic scenario remains uncertain and it’s another reason to be overweight on stocks that provide regular dividends. Additionally, valuation seem to be on the attractive side for most growth stocks. A strong rally from oversold levels would imply high total returns.

I also believe that growth stocks are poised to take-off in the next few quarters. With an impending recession, monetary policy action is likely to shift towards expansionary. This will be positive for the broader equity markets. With these factors in consideration, let’s talk about seven high-dividend growth stocks to buy at current levels.

ALB	Albemarle	$186.00
DOX	Amdocs	$90.60
KGC	Kinross Gold	$5.07
AAPL	Apple	$168.41
YUMC	Yum China	$60.58
AKRBF	Aker BP ASA	$1.40
PCRFY	Panasonic	$9.50

Albemarle (ALB)

Albemarle (NYSE:ALB) has been trending lower because of a decline in lithium prices. However, the correction is temporary with lithium demand expected to remain robust through the decade. ALB stock looks attractive among high-dividend growth stocks at a forward price-earnings ratio of 6.5. Currently, the stock offers an annualized dividend of $1.60.

Besides the valuation factor, a key reason to like Albemarle is ambitious growth plans. The company boosted lithium conversion capacity to 200ktpa at the end of 2022. Albemarle has further guided for capacity expansion to 550ktpa (mid-range) by 2027. This will ensure steady revenue and dividend growth.

It’s also worth mentioning that Albemarle has a quality balance sheet. As of Q4 2022, Albemarle reported net-debt-to-EBITDA of 0.5. Further, the company had $1.5 billion in cash and equivalents. With visibility of healthy cash flows, I expect capital expenditure from internal accruals.

Amdocs (DOX)

Amdocs (NASDAQ:DOX) is another interesting growth story with DOX stock trading at an attractive forward P/E of 15.3. The stock offers a dividend yield of 1.93% and I expect sustained dividend growth. Amdocs is a provider of software solutions and services to the telecommunication and media industry globally. The company believes that the potential addressable market by 2025 for its services will be $57 billion. This provides ample headroom for growth.

Amdocs is well diversified globally with presence in 90 countries. In the coming years, adoption of 5G will be a key growth catalyst. Additionally, Amdocs has invested $1 billion in its next-generation cloud platform.

Another positive is that 75% of the company’s revenue is recurring. This provides clear cash flow visibility. Last year, the company reported free cash flow of $600 million. Amdocs has guided for FCF in excess of $700 million for the year. With a majority being returned to shareholders, there is visibility for healthy dividend growth.

Kinross Gold (KGC)

Kinross Gold (NYSE:KGC) stock has been sideways, amidst volatility, in the last 12 months. However, with precious metals trending higher, a breakout on the upside seems imminent for this 2.4% dividend yield stock.

One point to note is that Kinross expects to deliver stable gold production through 2025. However, with upside in realized gold prices, the company’s revenue and cash flow growth is likely to be robust. To put things into perspective, Kinross reported free cash flow of $157.5 million for Q4 2022. This would imply an annualized FCF potential in excess of $600 million. I therefore expect healthy dividend growth in 2023 coupled with aggressive share repurchase.

It’s also worth noting that Kinross ended 2022 with a total liquidity buffer of $1.8 billion. Kinross was negatively impacted in 2022 as the company was forced to sell Russian assets due to geopolitical factors. With a strong liquidity buffer, I expect the company to pursue opportunistic acquisition to boost growth.

Apple (AAPL)

Considering the market capitalization, Apple (NASDAQ:AAPL) would ideally be among the blue-chip stocks. However, I would include Apple in the list of high-dividend growth stocks for two reasons. First, Apple is expanding through diversification and innovation. I expect earnings growth to remain healthy. Furthermore, AAPL stock has an annualized dividend of 92 cents. With a strong balance sheet and robust cash flows, dividend growth is likely to remain well above the industry average.

An important point to note is that Apple is shifting focus to India to accelerate growth. The country has the among the best demographics in the world with a swelling middle-class. Additionally, the company’s services and wearable segment has sustained growth potential. The company has also been working on car technology and that’s another potential game-changer in the next few years.

Overall, Apple is positioned to deliver value through dividend growth and share repurchases. AAPL stock looks attractive for a rally at a forward P/E of 27.4.

Yum China Holdings (YUMC)

Yum China (NYSE:YUMC) stock has rallied by 50% in the last 12 months. However, the 0.86% dividend yield stock is poised for further upside in the coming quarters.

It’s worth noting that the company’s performance in 2022 was negatively impacted by covid restrictions. However, there are two positives to note. First, digital orders surged during the pandemic and will continue to support comparable restaurant sales growth. Furthermore, even with the pandemic impact, Yum China opened net new stores of 1,159. New store openings will have a significant impact on revenue growth once covid restrictions are completely lifted.

For the current year, Yum China is planning to open 1,200 net new stores. Therefore, new store openings will continue to boost growth. From the perspective of dividends, Yum China reported $734 million in free cash flow for 2022. It’s likely that FCF will continue to swell and this would imply robust dividend growth.

Aker BP ASA (AKRBF)

Aker BP ASA (OTCMKTS:AKRBF) is possibly the best pick from growth stocks in the oil and gas sector. The growth stock also offers an attractive dividend yield of 8.79% and dividends are sustainable.

Aker BP ASA is involved in production and exploration activity with a focus on the Norwegian Continental Shelf. For Q4 2022, Aker BP reported production of 432mboepd. From existing projects, the company is targeting to increase production to 525mboepd by 2028.

Additionally, Aker BP has plans for development and operation of projects with 730mmboe in net resources. This will provide further upside visibility to the company’s production target. It’s also worth mentioning that Aker BP is a low-cost producer. Last year, the company reported $13 billion in revenue and $11.8 billion in EBITDA.

It’s not surprising that the dividend pay-out is robust. I expect strong free cash flows to support dividend growth and aggressive capital investments. Aker BP has also been active on the acquisition front in the last decade. The company boosted production from 211mboepd in 2020 to 432mboepd in Q4 2022 with the acquisition of Lundin Energy. Acquisitions will continue to support production upside.

Panasonic Holdings (PCRFY)

Panasonic Holdings (OTCMKTS:PCRFY) stock looks undervalued at a forward PE of 17.4. PCRFY stock has a current dividend yield of 1.13%. However, I expect healthy dividend growth with the company pursuing aggressive capital investments.

From a growth perspective, Panasonic has one operational battery plant in the U.S. The second plant is under construction in and the company is planning a third plant at Oklahoma. Once operational, these battery plants will ensure that revenue growth accelerates. Further, Toyota (NYSE:TM) and Panasonic are looking to invest $5.6 billion in a new battery plant in Japan.

Panasonic is high on innovation and that’s another reason to be bullish. The company is eyeing a 20% increase in battery density by 2030. This will help in manufacturing of lighter electric vehicles while keeping the range unchanged. Toyota and Panasonic also happen to be leaders in solid-state battery patents.

On the date of publication, Faisal Humayun did not hold (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.