The recent stock market downturn has led to a cooling of the broader market, with most indexes declining about 10% from their peaks. However, this sell-off presents an opportunity for investors seeking high-quality dividend stocks with yields above 5%. Here are five exceptional companies that fit the bill.
First up is Brookfield Renewable (BEPC and BEP), which boasts a 5.2% yield. As the leading global renewable energy producer, its payout is built on a solid foundation of stable cash flow generated from long-term contracts with utilities and large corporate customers. The company’s cash flow growth prospects are strong, driven by development projects and accretive acquisitions.
Next is Enbridge (ENB), yielding 6.3%. This Canadian pipeline and utility company has an impressive financial profile, with approximately 98% of its earnings coming from stable cost-of-service and contracted assets. Its predictability and dividend payment cushion provide a solid foundation for investors.
NNN REIT (NNN) is another top performer, offering a 5.5% yield. The real estate investment trust generates stable cash flow from rental income and owns single-tenant retail properties secured by long-term net leases. This predictable income stream has enabled the company to increase its dividend for an impressive 35 consecutive years.
T. Rowe Price Group (TROW) rounds out our top five, yielding 5.5%. As an asset manager, it generates steady income from advisory fees and has been expanding its exchange-traded funds, innovative retirement offerings, and insurance platform. The company’s growing assets under management have driven its dividend growth streak.
Last but not least is Verizon Communications (VZ), with a 6.4% yield. The telecom giant produces stable cash flow as customers pay their wireless and internet bills. Its recent investments in next-generation 5G and fiber networks are expected to drive revenue and earnings growth, positioning it for continued dividend increases.
These five high-quality, high-yielding dividend stocks offer exceptional income streams with growth potential. Invest now to capitalize on these opportunities before they slip away.
Source: https://finance.yahoo.com/news/5-dividend-stocks-yielding-over-221500535.html