Better High-Yield Dividend Stock: Whirlpool vs. Stanley Black & Decker

(NYSE: WHR) and Stanley Black Decker (NYSE: SWK) have much in common. Both are heavily exposed to the challenging U.S. housing market and are seeing sales declines. Both are taking substantive internal action to cut costs and actively restructuring their portfolios. Both companies also aim to reduce inventory in the face of declining sales, with dividend yields of 6.3% and 3.6%, respectively. These are attractive stocks for income-seeking investors. But which is the better buy? Here's the lowdown.

It's worth noting that both these stocks contain significant near-term risks. They are both plays on a recovery in the U.S. housing market, more than likely predicated on a decline in interest rates later in the year. However, the timing and magnitude of interest rate cuts are far from certain, and both companies could come under further pressure in the near term.

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Source Fool.com