VZ

Verizon Communications Inc.

51.64
USD
1.75%
51.64
USD
1.75%
45.55 56.85
52 weeks
52 weeks

Mkt Cap 213.80B

Shares Out 4.14B

Chat
Send me real-time posts from this site at my email

3 High-Yield Dividend Stocks You'll Never Have to Sell

High yield equals high risk. That's the conventional wisdom about dividend stocks. With this perspective, investors shouldn't bank on holding high-yield dividend stocks for very long -- if they buy them in the first place. However, the conventional wisdom isn't always applicable. Here are three high-yield dividend stocks that you'll probably never have to sell. 1. Easterly Government Properties I think the conventional wisdom about high yields equalling high risk is absolutely demolished with Easterly Government Properties (NYSE: DEA). The real estate investment trust (REIT) boasts a dividend yield of 5.6%. However, it's about as far from high-risk as you'll find. As its name indicates, Easterly owns properties that it leases to government agencies. The company specializes in acquiring properties to be used by mission-critical U.S. federal agencies including the Veterans Administration, Federal Bureau of Investigation, and General Services Administration. Easterly's management often mentions that much of the company's cash flow is "backed by the full faith and credit of the United States government." They're not exaggerating. Of the company's 89 properties, all but one is leased to a federal agency with long-term agreements in place. Uncle Sam seems likely to choose leasing buildings versus owning even more in the future because of budget constraints. Easterly should be able to continue growing -- and keeping those dividends flowing -- for a long time to come. 2. Medical Properties Trust If you like Easterly's yield, you'll love Medical Properties Trust (NYSE: MPW). It's also a REIT and pays a dividend yield of 6.4%. While some of its peers have reduced their dividends, Medical Properties Trust has increased its dividend for 10 consecutive years. You won't give up the potential for solid returns with this dividend stock. Over the past five years, Medical Properties Trust has delivered a total return in line with that of the S&P 500. The company owns around 440 hospitals and operates in 10 countries. Medical Properties Trust expects to invest between $1 billion and $3 billion this year in acquiring additional properties. Acquisitions are important to Medical Properties Trust's growth. However, its built-in annual rent increases help too. It's true that many high-yield dividend stocks require investors to trade off those yields for either higher risk or anemic growth. Medical Properties Trust is a clear exception. That's why I think it's the best healthcare dividend stock on the planet. 3. Verizon Communications Income investors have liked Verizon Communications (NYSE: VZ) for decades. The telecommunications giant offers a dividend yield of 5.2%. Verizon has also increased its dividend for 15 consecutive years. While Verizon has been a steady Eddie on the dividend front, it hasn't been a big winner for investors in recent years. Still, though, the telecom stock is holding up pretty well so far this year with the overall market pullback. More importantly, Verizon could have huge growth potential going forward. Increased 5G adoption opens up lots of opportunities for the company, including powering home internet use. Verizon is by far the biggest of these three high-yielders based on market cap. However, it's also the most attractively valued with shares trading at close to nine times expected earnings. With its juicy dividend, history of dividend increases, and solid growth prospects, Verizon is a textbook example of a dividend stock to buy and hold. 10 stocks we like better than Verizon Communications When our award-winning analyst team has a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has tripled the market.* They just revealed what they believe are the ten best stocks for investors to buy right now... and Verizon Communications wasn't one of them! That's right -- they think these 10 stocks are even better buys. *Stock Advisor returns as of April 27, 2022 Keith Speights has no position in any of the stocks mentioned. The Motley Fool recommends Easterly Government Properties and Verizon Communications. The Motley Fool has a disclosure policy. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Founded in 1993 in Alexandria, VA., by brothers David and Tom Gardner, The Motley Fool is a multimedia financial-services company dedicated to building the world's greatest investment community. Reaching millions of people each month through its website, books, newspaper column, radio show, television appearances, and subscription newsletter services, The Motley Fool champions shareholder values and advocates tirelessly for the individual investor. The company's name was taken from Shakespeare, whose wise fools both instructed and amused, and could speak the truth to the king -- without getting their heads lopped off.

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue