Investors may be tempted by high yields on 10-year Treasury bonds, but some top-performing stocks in the S&P 500 offer even better returns. According to an Investor’s Business Daily analysis, seven S&P 500 companies yield more than 7%, including Walgreens Boots Alliance (WBA), Ford Motor (F), and Altria Group (MO).
These high-payout stocks are not only attractive for their income, but also deliver significant stock gains. Walgreens Boots Alliance, the highest-yielding stock with an 8.5% dividend, has seen its shares rise by 27.5% this year. Meanwhile, other top performers like LyondellBasell (LYB) and Crown Castle (CCI) offer yields of over 7% while their shares have increased by at least 1% in the past year.
In contrast, Ford Motor’s yield of 8.1% is matched by a decline of nearly 2% in its stock price this year. Altria Group also offers a high yield, but its shares are down nearly 3% this year. These findings highlight the importance of considering both income and capital appreciation when evaluating investment opportunities.
Sources: IBD, S&P Global Market Intelligence
Source: https://www.investors.com/etfs-and-funds/sectors/sp500-bonds-are-yielding-nearly-5-but-7-stocks-pay-7-or-more