5 Stocks to Buy With Dividends Yielding More than 6%
High dividend yields are generally associated with high risks. That does not, however, mean that you need to avoid high-yield stocks altogether. Dividend investors should carefully consider the risks associated with any stock before falling for the allure of its juicy yield. Here are five great dividend stocks, with yields ranging from 6% to 9%, to consider buying right now.
With a 6.8% dividend yield, Canadian pipeline stock Enbridge (NYSE: ENB) offers an attractive opportunity for dividend investors. The company transports and stores oil, liquids, and natural gas. Its liquids operations account for a little more than half of its earnings, while natural gas and other midstream operations make up its remaining earnings.
Enbridge's liquids pipelines are strategically located, providing it with resilient cash flows even in volatile energy markets. At the same time, the company's gas operations are largely regulated, which again add to its earnings resilience. Regulators set tariff rates based on cost-of-service that allows the pipeline operator to recover its costs, with an allowable return over those costs -- similar to utilities. This ensures stable cash flow to the owner of the infrastructure in question.
Source Fool.com
