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Yahoo
41 minutes ago
- Business
- Yahoo
1 Incredible Dividend Stock to Buy Today
Key Points Coca-Cola's business looks strong enough to handle higher tariffs and other challenges. The company's brand name and adaptability grant it a significant competitive edge. The beverage giant also boasts an exceptional dividend growth track record. 10 stocks we like better than Coca-Cola › There is no shortage of dividend stocks on equity markets. However, they aren't all created equal. Some are likely to decrease or suspend their payouts when the going gets rough. Others haven't raised their dividends for years. Others, still, have very low yields -- while a high yield isn't everything, it can still provide some insight into a company's dividend program. The very best dividend stocks tend to avoid all these shortcomings. And that's why income-seeking investors should seriously consider Coca-Cola (NYSE: KO). The beverage maker doesn't have a particularly exciting business, but it is one of the smartest dividend stocks to buy today. A rock-solid business Coca-Cola has outperformed broader equities this year. One possible reason is that the company appears to have the potential to perform better than most if Trump's trade policies remain in place and are sustained beyond his administration. Trump's aggressive tariffs risk increasing manufacturing costs for corporations. Either they have to deal with heavy duties on imported goods, or they must ship their manufacturing back to the U.S., which is typically more expensive. One might think that would also apply to Coca-Cola, since it is a multinational corporation. Coca-Cola operates in nearly every country worldwide, but its manufacturing is largely localized. The majority of products it makes for U.S. consumers are manufactured in the country. Does that mean the company is entirely immune to tariffs? No, hardly any corporation is, regardless of its business structure. Coca-Cola imports parts and materials from countries abroad, some of which will be subject to tariffs. Still, Coca-Cola looks in a better position than most to handle one of the biggest economic threats Wall Street faces. More generally, Coca-Cola's business is resilient even amid downturns. The company is a leader in the consumer staples sector, an industry renowned for its defensive characteristics. People continue buying its products even when the going gets rough. One reason for this is Coca-Cola's strong brand name, which grants it several advantages, including trust and familiarity with consumers, consistent shelf space in grocery stores, and a degree of pricing power. Coca-Cola also has an adaptable business. Consumers' tastes can and do change. If Coca-Cola's portfolio of beverages had always remained the same, the company might have gone out of business by now. However, thanks to acquisitions and the launch of many new brands, Coca-Cola continues to stay ahead of changing demands and preferences. The company owns brands across virtually every major beverage category, including alcoholic beverages, water, soft drinks, juice, coffee, tea, sports drinks, and more. These factors explain why Coca-Cola has generated consistent revenue, earnings, and cash flow for decades. The company did experience a slowdown in the early days of the pandemic, but it was also able to bounce back from that. That should give investors confidence that, regardless of the challenge it faces, Coca-Cola can find a way to overcome it. An impeccable dividend track record Even before examining Coca-Cola's dividend program, the company's strong underlying operations and ability to perform relatively well, or at least recover, amid economic challenges, suggest that it can maintain its dividend in both good and bad times. The beverage maker's actual dividend track record further reinforces the point. Consider that Coca-Cola is a Dividend King, having raised its payout for 63 consecutive years. This streak is as old as some baby boomers. Some might worry that Coca-Cola can't continue increasing the dividend, given its cash payout ratio of 176% and a payout ratio that approaches 80%. Both look high, but they are not that abnormal for the company when we look at these metrics over the past decade. Coca-Cola has continued to grow its dividend despite that fact. Meanwhile, the company offers a forward yield of 3% is well above the S&P 500's average of 1.3%. Coca-Cola is committed to returning capital to shareholders via increasing payouts. The company's record in that department, coupled with a robust business that is resilient in challenging economic times and a competitive advantage thanks to its brand name, makes the stock a brilliant pick for income seekers. Should you buy stock in Coca-Cola right now? Before you buy stock in Coca-Cola, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Coca-Cola wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $630,291!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,075,791!* Now, it's worth noting Stock Advisor's total average return is 1,039% — a market-crushing outperformance compared to 182% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 29, 2025 Prosper Junior Bakiny has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. 1 Incredible Dividend Stock to Buy Today was originally published by The Motley Fool
Yahoo
3 days ago
- Business
- Yahoo
Dogs of the Dow: Why Verizon's (VZ) High Dividend Yield Still Looks Safe
Verizon Communications Inc. (NYSE:VZ) is included among the 11 Dogs of the Dow Dividend Stocks to Buy Now. A smiling customer receiving customer contact center solutions on their smartphone. A high dividend yield can sometimes signal trouble, but that's not the case with Verizon Communications Inc. (NYSE:VZ), despite its 6.3% yield. The company's latest quarterly performance suggests its dividend is well-covered. In the second quarter, Verizon Communications Inc. (NYSE:VZ) posted solid results with revenue up 5.3% to $34.5 billion and adjusted earnings growing 6.1% to $1.22 per share. Wireless service revenue rose to $20.9 billion, leading the industry, while broadband and business wireless segments also expanded. The company added more than 300,000 new mobility and broadband customers, with Fios gaining ground. Recent efforts to improve customer loyalty and attract new users played a key role in this growth. Over the first half of the year, Verizon Communications Inc. (NYSE:VZ) generated $16.8 billion in operating cash flow, $200 million more than the same time last year. After spending $8 billion to support its fiber and 5G infrastructure, it still had $8.8 billion in free cash flow— enough to easily cover $5.7 billion in dividends and leave $3.1 billion in excess cash. Verizon Communications Inc. (NYSE:VZ) has raised its dividends for 18 consecutive years, which makes it a reliable choice among income investors. The company's quarterly dividend comes in at $0.6775 per share. While we acknowledge the potential of VZ as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-07-2025
- Business
- Yahoo
The Smartest Dividend Stock to Buy With $1,000 Right Now
Key Points Dividend stocks that reliably increase their dividends are the perfect pick for income investors. Buying reliable dividend stocks when they have historically high yields is ideal. Universal Health Realty Income Trust's 7.4% dividend yield is near the highest levels of the past decade. 10 stocks we like better than Johnson & Johnson › If you are a dividend investor looking to maximize the income your portfolio generates, you will want to do a deep dive on Universal Health Realty Income Trust (NYSE: UHT). It has a historically high 7.4% dividend yield and a great track record of dividend growth to back it up. The dividend stock won't be right for every income investor, but for a select few it could be the smartest dividend stock to buy right now. What makes a dividend stock attractive? One of the first things that income investors look for is dividend yield. Universal Health Realty Income Trust has that factor pegged, with a huge 7.4% dividend yield. But some reference points will help. The S&P 500 (SNPINDEX: ^GSPC) has an itty bitty yield of 1.3%. The average healthcare stock has a yield of 1.8%. And the average real estate investment trust (REIT) has a yield of roughly 4.1%. Very clearly, Universal Health Realty is more attractive on the yield front. But yield has to be considered along with reliability. For example, one of the most reliable dividend-paying healthcare stocks is Johnson & Johnson (NYSE: JNJ), with 63 years of annual dividend hikes behind it. Next up is Becton, Dickinson (NYSE: BDX), with 53 years of hikes. Those two companies are Dividend Kings, an elite status that Universal Health Realty simply can't claim. That said, Johnson & Johnson's yield is 3.4% and Becton, Dickinson's yield is an even smaller 2.4%. Universal Health Realty's dividend has been hiked annually for four decades. That's a pretty good streak, even though it isn't yet a Dividend King, when you add in the real estate investment trust's huge yield. A $1,000 investment will get you around 24 shares of the healthcare-focused REIT. Universal Health Realty Trust is for income right now So a lofty yield and a strong dividend history make Universal Health Realty Trust attractive. It is extra attractive right now because the yield is near the highest levels of the past decade, suggesting the stock is on the sale rack. But there's just one small problem: Dividend growth has never been a big selling point here. As the chart above highlights, both JNJ's and Becton, Dickinson's dividend growth has been far superior to that of Universal Health Realty Trust. The goal for Universal Health Realty Trust isn't rapid dividend growth, it is reliable growth. It is a slow and steady tortoise, and that is likely all it will ever be. And that brings up the second big issue that investors need to know about. Universal Health Realty Trust is externally managed by Universal Health Services (NYSE: UHS), the REIT's largest tenant. There are very clear issues with conflicts of interest that have to be considered. However, the 40-year track record of slow and steady dividend growth is an indication of what Universal Health Services is doing here. More attractive than it was, not for all, but smart for some The interesting thing here is that prior to the coronavirus pandemic, Universal Health Realty's dividend yield was a tiny 2.1% or so. At that point, investors were way too optimistic about the REIT given the tortoise-like nature of the dividend. But, today, with the yield at 7.4%, this healthcare stock is a lot more attractive. It won't be right for every dividend investor, given the management structure and that tortoise-like dividend growth. For dividend growth investors, JNJ or Becton, Dickinson will be more appropriate. However, if you are trying to maximize the income you generate from your portfolio today and you are looking for a healthcare investment, Universal Health Realty Trust could be perfect for your portfolio if you have $1,000 or $10,000 to invest. Should you invest $1,000 in Johnson & Johnson right now? Before you buy stock in Johnson & Johnson, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Johnson & Johnson wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $652,133!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,056,790!* Now, it's worth noting Stock Advisor's total average return is 1,048% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of July 15, 2025 Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool recommends Johnson & Johnson. The Motley Fool has a disclosure policy. The Smartest Dividend Stock to Buy With $1,000 Right Now was originally published by The Motley Fool Fehler beim Abrufen der Daten Melden Sie sich an, um Ihr Portfolio aufzurufen. 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Yahoo
15-07-2025
- Business
- Yahoo
Dover: A Lesser-Known Industrial Dividend Gem
Dover Corporation (NYSE:DOV) is included among the 13 Best Industrial Dividend Stocks to Buy Right Now. A modern industrial equipment assembly line in motion. The company holds one of the longest dividend streaks in the industry, spanning 68 years, which makes it a reliable investment option for income investors. Currently, it pays a quarterly dividend of $0.515 per share and has a dividend yield of 1.09%, as of July 13. Dover Corporation (NYSE:DOV) produces equipment and components, including consumables, aftermarket parts, and digital solutions. The company is known for consistently generating strong free cash flow. In the first quarter of 2025, Dover Corporation (NYSE:DOV) reported an operating cash flow of $157.4 million, up from $146.6 million in the same period last year. The operating cash flow represented 8.4% of the revenue. The company's free cash flow also grew to $109.3 million, from $106.4 million in the prior-year period. It delivered a strong first-quarter performance, with a positive book-to-bill ratio in all five segments and building momentum throughout the quarter, reinforcing confidence in its short-term outlook. While we acknowledge the potential of DOV as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
12-07-2025
- Business
- Yahoo
The Best High-Yield Midstream Stock to Invest $1,000 in Right Now
The midstream segment of the energy sector is known for its financial consistency. One of the most consistent midstream businesses you can buy is Enterprise Products Partners. Enterprise provides income investors with a powerful combination of distribution growth and yield. 10 stocks we like better than Enterprise Products Partners › Energy prices have been volatile recently due to geopolitical issues. And, in fact, oil prices have moved in ways that some onlookers hadn't been expecting, highlighting the inherent risks of investing in the energy sector. Unless, that is, you sidestep the commodity risk by focusing on the midstream. And there's one high-yield midstream option that stands out today. Upstream energy businesses extract crude oil and natural gas. As such, their top and bottom lines are almost entirely dependent on commodity prices. Downstream businesses use oil and natural gas to produce chemicals and refined products such as gasoline. So not only do they rely on volatile-priced commodity inputs for their processes, but the products that they produce are largely commodities themselves. Midstream energy businesses are different. They own energy infrastructure, like pipelines and storage facilities, that connects the upstream players to the downstream and on to the rest of the world. Midstream companies generally charge fees for the use of their assets, a business model that tends to generate consistent cash flows regardless of the prices of the commodities flowing through their systems. They use large fractions of those cash flows to pay dividends, which tend to be fairly generous in the midstream sector. But not all midstream businesses are created equal. For example, at their current stock prices, Energy Transfer (NYSE: ET) is offering a 7.2% distribution yield while Enterprise Products Partners' (NYSE: EPD) yield is 6.9%. Yet if you are a dividend investor trying to build a reliable income stream for the long term, you'll be better off going with Enterprise's lower yield, whether you have $1,000 or $10,000 to invest. Why not pick the stock with the highest yield? The answer is simple: Because consistency is more important to most long-term dividend investors than yield. That's especially true in a case like this one, where the difference between the two yields is only 30 basis points. The chart below clearly illustrates this. Though the two have similar businesses, they don't always behave in the same way. Energy Transfer cut its dividend in 2020 amid the energy downturn caused by the start of the coronavirus pandemic. Sure, it returned to growing its payouts again fairly quickly, but those payments shrank dramatically right when most income seekers would have wanted reliability. By contrast, Enterprise Products Partners increased its distribution in 2020. Its streak of annual increases is now up to 26 consecutive years. Boring and reliable distribution growth is a key reason why investors should be considering Enterprise Products Partners today. The high yield should be appealing, too. But there's another little wrinkle: The dividend isn't the only reliable and boring part of the business. The master limited partnership has a solid financial foundation (its balance sheet is investment-grade rated), and management sets realistic goals that it tends to hit year in and year out. To use Energy Transfer as an example again, that business set plans in motion to buy another company in late 2015. An energy downturn in 2016, however, led Energy Transfer to get cold feet. It eventually scuttled the deal, but not without an ugly black eye from the legal battle that ensued. Or, consider Kinder Morgan (NYSE: KMI), another North American midstream giant. Its management team told investors to expect large dividend hikes in 2016 and 2020. Instead, in response to shifting macroeconomic conditions, it cut its payout in 2016 and provided a hike that fell well short of its original dividend goal in 2020. Enterprise muddled through both of those tough periods for the energy sector in relative stride without making promises it couldn't keep or cutting its distributions. Some investors might find reasons to justify buying Energy Transfer or Kinder Morgan over Enterprise Products Partners. But if you are putting $1,000 or more on the line, boring and reliable Enterprise provides a history of income and reliability that many of its peers just can't match. Erring on the side of safety is the right call in the energy sector, particularly if you're using the income your portfolio generates to help cover your living expenses. Focusing on the midstream segment is a good first step. But homing in on an industry leader like Enterprise is even better. At the current stock price, a $1,000 investment would net you around 31 units of this reliable high-yield MLP. Before you buy stock in Enterprise Products Partners, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Enterprise Products Partners wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $674,432!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $1,005,854!* Now, it's worth noting Stock Advisor's total average return is 1,049% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of July 7, 2025 Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Kinder Morgan. The Motley Fool recommends Enterprise Products Partners. The Motley Fool has a disclosure policy. The Best High-Yield Midstream Stock to Invest $1,000 in Right Now was originally published by The Motley Fool
