Bond Yields Are Falling: Grab These Wall Street High-Yield 6% Dividend Favorites Fast

Investors love dividend stocks, especially the high-yield variety, because they offer a significant income stream and have massive total return potential. Total return includes interest, capital gains, dividends, and distributions realized over time. In other words, the total return on an investment or a portfolio consists of income and stock appreciation. At 24/7 Wall St., we consistently emphasize the potential of total return to our readers. It is one of the most effective ways to enhance the prospects of overall investing success. Once again, total return is the collective increase in a stock’s value plus dividends.

The benchmark 10-year Treasury note yield plummeted to 4.25% in six short weeks from 4.75%. This was a welcome sight for Treasury Secretary Scott Bessent and Federal Reserve Chair Jay Powell, as sticky inflation has stopped the Fed’s rate-cutting plan, which dropped the federal funds yield to 4.3%. Many across Wall Street feel there will be no more rate cuts for the rest of 2025, unless the economy takes a big drop.

That’s not out of the question, as the Atlanta Fed’s GDPNow tracker of incoming data indicates that gross domestic product is on pace to shrink by 1.5% for the first quarter. That is versus the prior expectation of positive GDP growth for the quarter. This should be no surprise to many, as the rate increases used to fight off the rampant inflation that peaked in 2022 at 9.1% are now working their way into the economy. Typically, rate increases take 12 to 18 months and longer after implementation to affect the economy.

Growth and income investors and those looking for dependable passive income should pivot to quality high-yield stocks that pay dependable quarterly dividends and offer solid growth potential. Four of Wall Street’s favorite high-yield dividend stocks are on sale and look like perfect ideas now. All pay at least a 6% dividend.

Why do we cover high-yield dividend stocks?

Dividend stocks provide investors with reliable streams of passive income. Passive income is characterized by its ability to generate revenue without requiring the earner’s continuous active effort, making it a desirable financial strategy for those seeking to diversify their income streams or achieve financial independence.

Bloomin’ Brands

With a portfolio of well-known restaurants and a massive 6.40% dividend, this is a solid idea for 2025. Bloomin’ Brands Inc. (NASDAQ: BLMN) owns and operates casual, upscale casual, and fine dining restaurants globally.

The company operates through two segments: U.S. and International. Its restaurant portfolio has four concepts:

• Outback Steakhouse, a casual steakhouse
• Carrabba’s Italian Grill, a casual Italian restaurant
• Bonefish Grill
• Fleming’s Prime Steakhouse & Wine Bar, a contemporary steakhouse

The company owns and operates more than 1,450 restaurants in 46 states, Guam, and 13 countries, some of which are franchise locations. Given the current trading level under $10 and the huge dividend, this could be an incredible 2025 total return idea.

British American Tobacco

European giant British American Tobacco PLC (NYSE: BTI) is a consumer-centric, multi-category consumer goods company that pays shareholders a hefty 7.70% dividend.

The company provides tobacco and nicotine products. Its segments include:

• United States
• Asia Pacific
• Middle East
• Africa
• The Americas
• Europe

The company’s product categories include:

• Vapor
• Tobacco Heating Products (THPs)
• Modern Oral, Traditional Oral, and Combustible cigarettes

Vapor products are handheld, battery-powered devices that heat a liquid (called an e-liquid) to produce an inhalable aerosol known as vapor. THPs are a new category of tobacco product designed to heat rather than burn tobacco.

Modern Oral products are smoke-free oral nicotine products called nicotine pouches, designed for use in the mouth. Traditional oral products include snus and snuff.

British American Tobacco brands include:

• Vuse
• glo
• Velo
• Grizzly
• Dunhill
• Kent
• Lucky Strike
• Pall Mall
• Rothmans
• Newport
• Natural American Spirit
• Camel
• Vogue
• Viceroy
• Kool
• Peter Stuyvesant
• Craven A
• State Express 555
• Shuang Xi

Energy Transfer

This top master limited partnership is a safe way for investors looking for energy exposure and income, as the company pays a massive 6.75% distribution. Energy Transfer L.P. (NYSE: ET) owns and operates one of the largest and most diversified portfolios of energy assets in the United States, with a strategic footprint in all of the major domestic production basins.

The company is a publicly traded limited partnership with core operations that include:

• Complementary natural gas midstream, intrastate, and interstate transportation and storage assets
• Crude oil, natural gas liquids (NGL), and refined product transportation and terminalling assets
• NGL fractionation
• Various acquisition and marketing assets

After purchasing Enable Partners in December 2021, Energy Transfer owns and operates more than 114,000 miles of pipelines and related assets in 41 states, covering all major U.S. producing regions and markets. This further solidifies its leadership position in the midstream sector.

Through its ownership of Energy Transfer Operating, formerly known as Energy Transfer Partners, the company also owns Lake Charles LNG Company, the general partner interests, the incentive distribution rights, and 28.5 million standard units of Sunoco, and the public partner interests and 39.7 million standard units of USA Compression Partners.

Verizon

This top telecommunications company offers tremendous value, trading at 8.75 times estimated 2025 earnings and paying investors a strong 6.30% dividend. Verizon Communications Inc. (NYSE: VZ) provides communications, technology, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide.

It operates in two segments:

• Verizon Consumer Group
• Verizon Business Group

The Consumer segment provides wireless services across the wireless networks in the United States under the Verizon and TracFone brands and through wholesale and other arrangements.

It also provides fixed wireless access (FWA) broadband through its wireless networks and related equipment and devices, such as:

• Smartphones
• Tablets
• Smartwatches and other wireless-enabled connected devices

The segment also offers wireline services in the Mid-Atlantic, including the District of Columbia, and the northeastern United States through its fiber-optic network, Verizon Fios product portfolio, and copper-based network.

The Business segment provides wireless and wireline communications services and products, including:

• FWA broadband
• Data
• Video and conferencing
• Corporate networking
• Security and managed network
• Local and long-distance voice

Network access services to deliver various IoT services and products to businesses, government customers, and wireless and wireline carriers in the United States.

The 5 Highest-Yielding Monthly Dividend Stocks Deliver Gigantic Passive Income Streams

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