Dividend investors often face a choice between high-yield stocks that offer more immediate income and low-yield stocks with faster dividend growth, but finding stocks that offer both can be challenging, with only a few rare "dividend unicorns" meeting these criteria, such as Arbor Realty Trust, Clearway Energy, NextEra Energy Partners, and VICI Properties.
### Summary
Wall Street analysts recommend dividend stocks as a defensive move against potential economic downturns, highlighting Brookfield Renewable Partners and Diamondback Energy as appealing options with promising outlooks.
Dividend stocks have a track record of outperforming non-dividend paying stocks, and investors can generate $100 in monthly dividend income by investing in AGNC Investment, PennantPark Floating Rate Capital, and Realty Income.
High-quality dividend stocks, which have been market favorites in recent years, are currently not receiving much respect but now may be a good time to buy.
Certain stocks, such as Abbott Laboratories, Johnson & Johnson, and Coca-Cola, possess strong brands, diverse portfolios, and reliable dividends, making them excellent investments regardless of market conditions.
Verizon, Medtronic, Hasbro, Dell, and Walmart are highlighted as attractive dividend stocks by Wall Street analysts, offering investors potential income and long-term returns.
Dividend-paying stocks, particularly dividend growth stocks like Brookfield Renewable and Enbridge, have consistently outperformed non-dividend payers, offering above-average returns and low risk due to their stable cash flows and long-term contracts.
The resurgence of interest in dividend-paying stocks has led to significant growth in dividend-focused ETFs, with over $300 billion in assets under management globally as of July 2023, and investors must choose the dividend index that aligns best with their investment objectives, such as the FTSE Global Target Dividend Index Series.
The demand for oil remains strong globally, making energy companies a good investment option with shareholder-friendly dividend policies, including Devon Energy, Enbridge, and Chevron.
The Southern Company, Oneok, and Public Storage are exceptional dividend stocks that have consistently paid stable dividends and increased their payouts, making them highly attractive for investors looking for reliable and growing income.
In this article, the author mentions several stocks including:
1. Credit Suisse X-Links Crude Oil Shares Covered Call ETN (USOI)
2. Via Renewables preferred shares (VIASP)
3. NXG NextGen Infrastructure Income fund (NXG)
4. OFS Credit Company, Inc. (OCCI)
The author does not explicitly give a recommendation to buy, hold, or sell these stocks. However, they mention that they have a 5% position in USOI and do not plan to increase their holding unless oil prices dip below $80 again.
The author's core thesis is to hold high-yielding securities that offer regular monthly or quarterly dividends to grow their future income stream. They mention that they are accumulating wealth in their investment portfolio and reinvesting dividends to compound their income.
The key information and data in the article include the current TTM yield of USOI at about 27%, the high yield provided by VIASP (approximately 26% at the time of the article), the doubled dividend of NXG NextGen Infrastructure Income fund, and the high yield and potential price appreciation of OFS Credit Company, Inc.
Three stable dividend stocks that can be solid investments for retirement are Bristol Myers Squibb, Apple, and Verizon Communications, with Bristol Myers Squibb offering a high yield and a diverse business, Apple having potential for future dividend increases, and Verizon Communications having the highest yield and a track record of increasing dividends.
Investors may want to consider increasing exposure to dividend stocks, such as those in the S&P Dividend Aristocrats, as rising long-term interest rates have the potential to push the broad stock market down again.
Investing in dividend stocks has historically provided higher returns than stocks that don't pay dividends, and three high-yield stocks with sustained payouts that can generate $500 in annual dividend income from a $5,400 investment include AT&T, PennantPark Floating Rate Capital, and Innovative Industrial Properties.
Summary: Morgan Stanley recommends investors turn to dividend-paying stocks, as they have historically outperformed non-dividend stocks during market downturns. They have identified 26 dividend stocks that could see shares rise up to 85% in the coming months.
Dynex Capital (DX) and Ellington Financial (EFC) are two monthly-payment dividend stocks offering a market-beating yield of at least 13% and are considered 'Strong Buys' according to Wall Street analysts.
Amid the unpredictability of the stock market, investors can find stability and passive income through the steady dividends offered by certain dividend stocks, such as Verizon Communications Inc. and Energy Transfer LP, which both boast yields of over 8% and have been recommended by financial giant Morgan Stanley.
Investment platform The Motley Fool suggests four dividend stocks to consider adding to your portfolio in October for stability and long-term investment upside.
Dividend stocks are a good option for investors seeking stable income or a hedge against inflation, but it's important to choose stocks with above-market dividend yields and strong dividend growth rates for optimal capital appreciation and income generation.
American Tower, a dividend-paying stock, is well positioned to benefit from the AI revolution and the increasing demand for data transmission, making it a smart long-term investment.
Dividend-paying stocks, such as Exxon Mobil, Coterra Energy, Brookfield Infrastructure Partners, American Electric Power, and Darden Restaurants, are being recommended as attractive options for investors due to their strong earnings, cash flows, and dividend growth.
Cognex, Estée Lauder, and Brookfield Infrastructure are three dividend stocks worth buying for investors seeking both income and growth potential, with Cognex set to generate long-term value, Estée Lauder leveraging its strategic acquisitions and wide audience, and Brookfield Infrastructure offering consistent cash flows and attractive growth opportunities.
Investors may be overlooking the potential of dividend stocks due to the current high yields on cash and bonds, but long-term investors have an opportunity to benefit from growth and income with quality dividend stocks that have the potential to raise their dividend payouts over time.
Investors looking for passive income without relying on stock prices should consider dividend stocks such as Kinder Morgan, 3M, and Clearway Energy, which offer high dividend yields of 7%, 6.8%, and 5.3% respectively.
Stocks are currently on the defensive, but this temporary setback provides income-seeking investors with an opportunity to consider three dividend stocks - KeyCorp, Unilever, and BlackRock - that have resilient businesses and steady revenue growth.
The current bear market presents great buying opportunities for dividend stocks, with many high-quality companies offering attractive discounts and starting dividend yields.
