(NYSE: VZ) currently offers one of the highest-yielding dividends in the S 500 at 7.7%. Dividend yields that high often signal that a payout is at a greater risk of being cut.

However, that's not the case with Verizon's payout. That was evident from the telecom giant's third-quarter report, which shows it's a cash-generating machine.

Verizon has generated $28.8 billion in cash flow from operations through the first nine months of this year. That was a little more than a 2% improvement from the same period last year. However, capital spending has decreased significantly, falling from $15.8 billion to $14.2 billion. As a result, the company's free cash flow has increased by $2.2 billion to $14.6 billion. Verizon has produced more free cash flow in the first nine months of 2023 than it did in all of 2022. 

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Source Fool.com