I am talking today about six dividend stocks that have enough earnings to pay their high yields. The dividend payout ratios, which are dividends divided by earnings per share (EPS), are less than 50%.
That makes their dividend yields much more secure, allowing the companies to easily cover the payments even when earnings turn down. That will ease the minds of investors concerned about a possible recession or worried that these dividend stocks won’t be able to keep paying dividends.
As a result, these stocks will not likely have as severe a downdraft as other stocks. And that alone makes them more valuable as well. So investors can be assured that these dividend stocks have long-term value for their investors.
Let’s dive in and look at these stocks.
The post 6 Dividend Stocks That Can Afford to Pay Their High Yields appeared first on InvestorPlace.