These 7 dividend stocks offer payouts of 5% or higher in a diverse set of industries
As the U.S. Federal Reserve remains careful to not rock the
boat with regards to reversing its aggressive monetary policy, it remains a
low-interest rate environment. In turn, dividend stocks in general continue to
remain at high prices, after being bid up by investors on the hunt for yield.
For instance, the ProShares S&P 500 Dividend Aristocrats
ETF (BATS:NOBL), which holds a basket of high-quality dividend plays, sports a
forward yield of 1.94%. Hardly much to get excited about. When it comes to
individual names in the aristocrats category, like Johnson & Johnson
(NYSE:JNJ) and Procter & Gamble (NYSE:PG), their yields (2.59% and 2.43%,
respectively) aren’t that much higher.
Yes, a possible stock market correction could change this.
After trading for historically high valuations, blue chip and speculative
stocks alike could tumble down to more reasonable prices. But until then,
choices remain limited, when it comes to finding stocks with yields that can at
least keep up with the 5%+ inflation we are seeing today.
So, which of the small pool of high-yield dividend stocks
are worth a look? These seven, all with forward yields well over 5%, and many
of which will likely fare well in a market downturn, are definitely names to
consider:
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