A Reduced Payout Could Be Coming for These High-Yield Dividend Stocks

When investors look for dividend stocks, they should generally avoid companies in fading industries (like big tobacco), companies that regularly pay out over 100% of their earnings or free cash flow (FCF) as dividends, and companies that only pay high yields because their stocks have been crushed. Checking those three boxes will help you avoid some high-yield traps.

But investors should also be wary of companies with shifting priorities, stagnant businesses, and unusual dividend payout models. Here are three high-yield stocks that fit those three categories, respectively -- Intel (NASDAQ: INTC), Xerox (NYSE: XRX), and Nintendo (OTC: NTDOY).

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Source Fool.com