These Ultra-High-Yielding Dividend Stocks Are No Joke

Core Viewpoint - The article emphasizes the importance of identifying reliable dividend stocks, highlighting Realty Income, Brookfield Renewable, and Verizon as strong candidates due to their consistent and high dividend yields, which are significantly above the S&P 500 average Group 1: Realty Income - Realty Income has a current dividend yield of 5.6% and has increased its dividend payment 130 times since going public in 1994, maintaining a 4.3% compound annual growth rate over the past 30 years [3][4] - The company generates steady rental income from a diversified portfolio of properties secured by long-term net leases, requiring tenants to cover all operating expenses [4][5] - Realty Income pays out less than 75% of its stable cash flow in dividends, allowing for financial flexibility and the ability to fund new income-generating investments [5] Group 2: Brookfield Renewable - Brookfield Renewable has a current dividend yield of 5.4% and has increased its dividend by at least 5% annually since its public listing in 2011 [6] - The company generates stable cash flow through long-term, fixed-rate power purchase agreements, with many contracts linked to inflation, supporting steady income growth [6][7] - Brookfield expects to grow its funds from operations per share by more than 10% annually over the next five years, which supports its plan to increase dividends by 5% to 9% per year [8] Group 3: Verizon - Verizon has a current dividend yield of 6% and has increased its payout for 18 consecutive years, the longest growth streak in the U.S. telecom sector [9] - The company generated $36.9 billion in cash flow from operations last year, using$11.2 billion for dividends and maintaining a significant excess free cash flow of $8.6 billion [10] - Verizon is acquiring Frontier Communications in a$20 billion all-stock deal to enhance its fiber network, which is expected to boost future cash flow and support continued dividend growth [11] Group 4: Conclusion - Realty Income, Brookfield Renewable, and Verizon are highlighted as reliable dividend payers with stable cash flows and strong balance sheets, making them attractive options for investors seeking consistent income [12][13]