3 Top Dividend Stocks With Yields Around 5%
The beauty of compound interest cannot be overstated. Moreover, the beauty of collecting dividends is a great feeling. With so much emphasis on growth, it never hurts to take a look at some dividend-yielding investments. Here are a few companies that offer big yields.
The telecommunications industry is so prevalent in our lives today, and AT&T (NYSE: T) is right in the heart of it. The telecom business is vast, and the company also has tons of media assets after going on an acquisition spree in recent years: Think CNN, TBS, Warner Bros., New Line Cinema, and HBO. AT&T has seemingly become a behemoth of news, entertainment, and phone services in a very short period of time.
With a solid 5.6% dividend yield at this writing, AT&T is a quality dividend payer. The payout ratio is a bit high at around 90%, but the company carries so much cash on the books that I think its dividend is safe right now. The catch here is the uncertain outcome of rising content wars with other streaming services. Walt Disney, Netflix, and Comcast all have their hands in the streaming game. To that end, a lot of money is going to be spent in a more congested market, and I think it will eat into earnings. Nonetheless, AT&T boasts massive revenue and income to work with.
Source Fool.com
