3 Dividend Stocks That Are Too Unsafe
A hefty dividend is only as good as a company's ability to pay it. Some high yields blink amber. CenturyLink (NYSE: CTL), GameStop (NYSE: GME), and Regal Entertainment Group (NYSE: RGC) currently yield 15.6%, 8.7%, and 5.1%, respectively, but the sustainability of those chunky distributions deserve to be questioned.
We have a regional telco that's been shelling out more than it's been earning for years, a video game retailer facing shifting market dynamics, and a multiplex operator struggling as consumers sidestep movie outings are weighing on how long their dividend policies can continue. Income investors may be flocking to these three stocks for their appetizing quarterly disbursements, but there could be more -- or less -- than meets the eye.
Image source: GameStop.
Source: Fool.com
Gamestop Corp. Stock
Our community is currently low on Gamestop Corp. with 5 Buy predictions and 12 Sell predictions.
A target price of 5 € results in a potential of -77.51% which would mean heavy losses compared to the current price of 22.24 € for Gamestop Corp..
