Got 10 Years and $1,000? 3 Dividend Stocks That Are High-Yield Bargains.
The market is volatile right now, but that doesn't mean you should run and hide. The key is to stick with well-run companies and to own them for the long term. If you have $1,000, or more, to put to work and can afford to sit tight for 10 years, or longer, there are good companies on sale that you might want to look at adding to your portfolio. Three top options are W.P. Carey (NYSE: WPC), Chevron (NYSE: CVX), and PepsiCo (NASDAQ: PEP). Here's a primer on each one.The bad news first with real estate investment trust (REIT) W.P. Carey: It reset its dividend in 2024 after the strategic decision to exit the office sector, which made up around 16% of its rents. That move strengthened the business, which is now focused on warehouse, industrial, and retail properties. But the hit to the rent roll was too high to avoid lowering the dividend. The quarter after the reset, however, the dividend got right back onto the quarterly increase cadence that existed before the reset. That shows that W.P. Carey is operating from a position of strength, not weakness.That strength includes the opportunity to invest the cash raised from the office exit. It bought assets throughout 2024, but a lot were acquired in the back half of the year. That means that these assets will start to benefit from the top and bottom lines in 2025. W.P. Carey's lofty 5.8% dividend yield is well supported and highly likely to keep growing throughout the year. Note that the average REIT yield is only 4%, so buying W.P. Carey today gets you a well-above-peers yield backed by a well-positioned and still-growing landlord.Continue reading
The market is volatile right now, but that doesn't mean you should run and hide. The key is to stick with well-run companies and to own them for the long term. If you have $1,000, or more, to put to work and can afford to sit tight for 10 years, or longer, there are good companies on sale that you might want to look at adding to your portfolio. Three top options are W.P. Carey (NYSE: WPC), Chevron (NYSE: CVX), and PepsiCo (NASDAQ: PEP). Here's a primer on each one.
The bad news first with real estate investment trust (REIT) W.P. Carey: It reset its dividend in 2024 after the strategic decision to exit the office sector, which made up around 16% of its rents. That move strengthened the business, which is now focused on warehouse, industrial, and retail properties. But the hit to the rent roll was too high to avoid lowering the dividend. The quarter after the reset, however, the dividend got right back onto the quarterly increase cadence that existed before the reset. That shows that W.P. Carey is operating from a position of strength, not weakness.
That strength includes the opportunity to invest the cash raised from the office exit. It bought assets throughout 2024, but a lot were acquired in the back half of the year. That means that these assets will start to benefit from the top and bottom lines in 2025. W.P. Carey's lofty 5.8% dividend yield is well supported and highly likely to keep growing throughout the year. Note that the average REIT yield is only 4%, so buying W.P. Carey today gets you a well-above-peers yield backed by a well-positioned and still-growing landlord.