VZ

Is Verizon 7.2% Dividend Yield Worth the Cost?

Verizon’s 7.2% dividend yield is increasingly tempting to many income-focused investors. However, many of those same investors are reminded of AT&T—another telecom that was recently forced to cut its big dividend as the payout got way ahead of the company’s cash flows. In this report, we review Verizon’s business, dividend safety, valuation and risks (including the new Amazon Prime threat), and then conclude with our opinion on investing.

6.1% Yield Blue-Chip Stock: Risks Versus Rewards

As the share price of this large-cap blue-chip stock sits near its 52-week low, its dividend yield (currently 6.1%) sits near a decade-long high. What’s more, the valuation is compelling if you can get comfortable with the big risk factors it currently faces. In this report, we review the business, valuation, dividend safety and risk factors, and then conclude with our strong opinion on investing.

Verizon: 5.2% Yield, 4 Risks Worth Considering

The share price of steady dividend-growth stock, Verizon, is still down more than 11% following its latest earnings release. And the 5.2% dividend yield is increasingly tempting for many income-focused investors (especially in our current volatile market). But the outsized dividend doesn’t come without risks. In this report, we review Verizon’s business, its dividend safety, the current valuation and four big risks the company currently faces. We conclude with our opinion on who might want to consider investing.

Verizon: 4.2% Dividend Yield, Oasis or Mirage?

Compared to high-flying tech stocks, dividend stocks have fared poorly since the onset of the pandemic, and some investors are left wondering if this trend is permanent. Verizon (VZ) is one such stock that investors have grown to trust (14 consecutive years of dividend increases), but just how safe is its business model? In particular, will its recurring subscription revenue stream (mainly from its wireless business) keep cash flowing? This article reviews the health of the business, valuation, risks, dividend safety, and concludes with our opinion on whether Verizon is worth considering if you are a long-term income-focused investor.

Two Attractive “Dogs of the Dow”

The Dogs of the Dow strategy proposes that an investor invests annually in the ten Dow Jones stocks with the highest dividend yield. Proponents of the strategy argue that blue-chip companies do not alter their dividend to reflect trading conditions and, therefore, the dividend is a measure of the average worth of the company. The following table ranks the 30 Dow Jones stocks by dividend yield, it includes a variety of other financial metrics, and finally we discuss two of our favorite Dogs of the Dow right now.

An Alternative High Income Bond Strategy

If it is safe high income you seek, this alternative strategy may be worth considering. Rather than investing only in big-dividend stocks, this article highlights three specific corporate bonds, and an advanced-strategy to generate high income with relatively low risk. We believe these three specific bonds offer an attractive risk-versus-reward opportunity to boost your income and diversify your portfolio.

A Tale of Four Stocks: There Will Be Winners and Losers

This week we review four stocks. First we review one of our stalwart blue chip holdings that is currently trading at a discounted price thereby providing an attractive entry point for long-term investors. Next, we provide a checkup on an attractive small cap growth company we own that provides cloud-based payroll processing services, and has the potential to easily double in price and/or get bought out at an attractive premium. And finally, we provide some additional insights on Yahoo and how the stock price of its eventual acquirer could first fall and then rise significantly.