Warren Buffett famously said he tries "to be fearful when others are greedy and to be greedy only when others are fearful." With the S 500 up more than 30% over the last 12 months and the Nasdaq-100 soaring more than 50%, there's a pretty good argument that some investors are getting greedy.

So am I fearful? Not really. I am highly selective about which stocks I buy (as is Buffett). But ExxonMobil (NYSE: XOM) stands out as one stock that meets my stringent criteria. Here are three reasons why I just bought this high-yield dividend stock.

The S 500's cyclically adjusted price-to-earnings (CAPE) ratio, also known as the Shiller PE ratio, is almost 34. That's the highest level since early 2022, when the index plunged 19%. It's higher than the S 500's CAPE ratio was in 1929 before the infamous stock market crash in October of that year.

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Source Fool.com