Danger Lurks for These 3 High-Yield Dividend Stocks
One of the most important lessons of dividend investing is: If the yield looks too good to be true, it probably is. When a company is paying out far more per share than its peers in the sector, it's probably because the market doesn't think it can last, and it's pricing in a cut.
The coronavirus pandemic has driven up dividend yields as it's crushed stock prices, but with companies' earnings forecasts thrown into disarray, the same guideline applies -- a high yield is more likely to be a mirage than an opportunity.
Here are three stocks with yields that signal a possible dividend cut.
Source Fool.com
