Not too long ago, Walgreens (NASDAQ: WBA) was the highest-yielding stock in the Dow Jones Industrial Average. Then, the pharmacy operator cut its dividend. That's a warning that investors need to keep in mind as they look at the current top three highest-yielding stocks: (NYSE: VZ), 3M (NYSE: MMM), and Dow (NYSE: DOW). Here's a quick look at each of these Dow Jones income stocks.

Verizon is one of the largest telecommunications companies in the United States, operating a large cellular network. The stock currently yields around 6.7%, which is notably more than you'd collect from the "average" company, noting that the yield on the S&P 500 index is a paltry 1.4% or so. Verizon has increased its dividend annually for 19 consecutive years, which is a good sign but not enough to make the stock a buy.

Operating a telecommunications business requires a huge amount of capital investment. As such, companies in the industry tend to carry a lot of debt on their balance sheets. Verizon's leverage, however, is higher than that of its two main competitors. Verizon's leverage has fallen dramatically over the past decade, so it is moving in the right direction on this front. Given the importance of mobile phones and the growth of connected devices, the stock is probably worth a look. However, investors should still keep a close eye on the balance sheet here. A material deterioration in leverage from current levels would indicate a potentially worrisome increase in risk.

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Source Fool.com