Top 10 High-Dividend S&P 500 Stocks: High Yields with Potential Risks

Calculating dividend yield is as simple as pie: just divide the dividend per share by the current stock price and multiply by 100. For example, if a company with a $20 stock price pays out $1 a year, the calculated dividend yield is 5%.

But here's the catch - the math often hides a sneaky trap. Many high-yielding stocks get their juicy dividends not from growing payouts, but from tumbling stock prices.

Imagine that company I mentioned earlier - they paid a $1 dividend last year, the stock price was $100, and the dividend yield was just 1%. Now, suddenly, the yield jumps to 5%! Sounds great, but who knows the pain investors felt watching their investments slide.

So, these 10 $S&P 500(.SPX)$ stocks with sky-high dividend yields, up to 6% or more, may have some hidden risks. But hey, they still have investment potential! $Comerica(CMA)$ $Boston Properties(BXP)$ $Crown Castle(CCI)$ $Verizon(VZ)$ $Walgreens Boots Alliance(WBA)$

1. $Pfizer(PFE)$

Their stock price has almost halved since the pandemic peak in 2021. But good news, their dividends are still steady. In January, they even hiked their payout by a penny to 42 cents, accounting for about 70% of this year's predicted earnings.

2. $KeyCorp(KEY)$

With all the banking turmoil and bankruptcies, their stock's been under pressure. Down over 20% this year while the S&P 500 soared over 40%. But their dividends are safe, way below their expected earnings.

3. $AT&T Inc(T)$

They're like a lumbering elephant, but their broadband internet service is chugging along, growing 7% in the first quarter. Plus, they have a $17 billion cash flow cushion for dividends and growth investments. AT&T pays a quarterly dividend of 27.75 cents per share, accounting for less than 60% of their earnings. No worries there!

4. $Healthpeak Properties, Inc(DOC)$

After merging with Physicians Realty Trust in March, they're now a diversified medical real estate giant. With an aging population and increasing healthcare needs, this stock will benefit once we get through the current high-interest rate environment.

5. $Altria(MO)$

They invested $1.8 billion in Cronos Group a few years back. Not only do they offer a high dividend yield, but they've also increased their dividends for 55 consecutive years! Impressive, huh?

# 💰 Stocks to watch today?(30 Oct)

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

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