Dividend stocks are becoming increasingly popular in the stock market. Many people regard dividend stocks as a haven during times of volatility. Furthermore, investors can expect consistent cash flows and the possibility of significant capital gains over time. Dividend payments can be an excellent way to supplement your income in this low-interest-rate environment.
Furthermore, by investing in some of the high dividend stocks, you may be able to grow your portfolio through simple, consistent compounding. You may believe that investing in top dividend stocks is only for retirees who require income to live on. However, it is also worth noting that today’s stock market sector can provide lower volatility.
Without a doubt, many of the growth stocks have delivered significant returns since the pandemic began. However, they are no longer the obvious choice like any other boom and bust cycle. Some investors have become more conservative with the stock market’s recent downward trajectory.
VICI Properties
The REIT is a triple net lease with notable tenants such as Caesars Entertainment (NASDAQ: CZR) and Hard Rock Cafe. VICI Properties will have 43 world-renowned Las Vegas and regional gambling properties across 15 US states following its acquisition of MGM Growth Properties. In addition, the REIT’s cash rent will nearly double from $1.5 billion to $2.6 billion. VICI Properties has a current dividend yield of 5.2 percent.
Notably, amid the COVID-19 crisis last year, VICI Properties collected all of the cash rent due on time. That’s quite impressive when you consider that Las Vegas was closed for a few months. Furthermore, despite its high annual growth rate, VICI stock appears to be reasonably priced for long-term investors looking for stable and growing dividend payments.
Apple
Many investors do not regard Apple as a top dividend stock. But that could change very soon. Despite charging a premium for its products, Apple is still thriving amid the current pandemic. All of these are components of Apple’s comprehensive tech ecosystem. AAPL stock currently pays an annual dividend of $0.88 and has a dividend yield of 0.5 percent.
To be sure, Apple’s dividend may not appear to be particularly appealing right now. However, it’s worth noting that its latest quarter dividend is more than 7% higher than it was a year ago. Most importantly, Apple is still growing at a healthy rate. In the most recent quarter, Apple’s revenue was $83.4 billion, up 29 percent yearly.
Coca-Cola
Coca-Cola is a multinational beverage corporation with products sold in over 200 countries and territories worldwide. It also includes brands of hydration, sports, coffee, and tea. It employs over 700,000 people worldwide and continues to improve the lives of its customers. The company currently pays a dividend yield of 2.9 percent. Coca-Cola has increased its dividend payout to shareholders for 59 consecutive years for those unaware. And, given the company’s healthy growth rate, you can expect it to do so in the future. In late October, the company reported third-quarter financial results that exceeded analysts’ expectations. It expects continued momentum and strong results, increasing by 16% yearly to $10 billion.
AbbVie
Many investors find AbbVie, the pharmaceutical giant, an appealing income play. The drugmaker currently pays a dividend yield of more than 4%, making it one of the highest dividend stocks among its industry peers. More notably, since 2013, the company has increased its dividend yield by a whopping 225 percent. All of this is made possible by the company’s robust pipeline of treatments spanning a wide range of medical fields.
The company’s business is still doing well on the financial front, with total revenue of $14.34 billion in the most recent quarter. The company also maintains high-profit margins, 22.2 percent in the most recent quarter. AbbVie does not appear to be slowing down anytime soon, despite its massive operations.
