12 Dow Stocks With At Least 2% Dividend Yields

Dividend stocks can be an excellent source of reliable returns during unpredictable periods in the market. A dividend is only as good as the company paying it, however, and some of the highest-yielding stocks are companies that may be in financial stress.

The 30 stocks that make up the Dow Jones Industrial Average are carefully chosen blue-chip American companies that investors can rely on. The Dow stocks may not necessarily generate massive share price returns, but they generally have strong balance sheets, durable businesses and reliable dividends.

The great thing about dividends is that they compound over time if they are reinvested. Even just 2% dividend compounded over time can generate nearly a 50% gain over 20 years.

Dow Dividends

There are currently 12 stocks in the Dow that pay dividend yields of at least 2%:

  1. Verizon Communications Inc. VZ, 4.1% yield.
  2. Pfizer Inc. PFE, 3.9% yield.
  3. 3M Co MMM, 3.3% yield.
  4. Walgreens Boots Alliance Inc WBA, 2.9% yield.
  5. Cisco Systems, Inc. CSCO, 2.9% yield.
  6. Johnson & Johnson JNJ, 2.9% yield.
  7. JPMorgan Chase & Co. JPM, 2.8% yield.
  8. Travelers Companies Inc TRV, 2.4% yield.
  9. Home Depot Inc HD, 2.3% yield.
  10. Goldman Sachs Group Inc GS, 2.2% yield.
  11. Boeing Co BA, 2.2% yield.
  12. Intel Corporation INTC, 2.1% yield.

Benzinga’s Take

A quick way to judge the reliability of a dividend is to check a stock’s payout ratio. The payout ratio represents the percentage of a company’s earnings that are paid out via dividends. A payout ratio at or near 1 may be a sign of an unsustainable dividend.

Do you agree with this take? Email feedback@benzinga.com with your thoughts.

Related Links:

10 S&P 500 Stocks With The Most Institutional Buying

9 S&P 500 Stocks With The Most Insider Selling

Photo credit: Mike Mozart, Flickr

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Ex-Date
ticker
name
Dividend
Yield
Announced
Record
Payable
Posted In: EducationDividendsTop StoriesTrading IdeasGeneral
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!