The Smartest High-Yield Dividend Stocks to Buy With $100 Right Now
Why wouldn't an income investor want to own a stock that has a 14% dividend yield? That's an awfully tempting number, given that the average return of the S&P 500 (SNPINDEX: ^GSPC) is generally considered to be around 10% a year.The problem is that when things look too good to be true, they often are. Here's why these two out-of-favor high-yield stocks are better income options than ultra-high-yield AGNC Investment (NASDAQ: AGNC) if you happen to have $100 available to put into stock investing right now.Sometimes, dividend cuts happen for a good reason that may even position a company for a better future. However, in the case of AGNC Investment, dividend cuts appear to be a part of the business model. That's not actually a knock on AGNC Investment, a well-respected mortgage real estate investment trust (REIT). It is simply a statement of fact, given the dividend history.Continue reading
Why wouldn't an income investor want to own a stock that has a 14% dividend yield? That's an awfully tempting number, given that the average return of the S&P 500 (SNPINDEX: ^GSPC) is generally considered to be around 10% a year.
The problem is that when things look too good to be true, they often are. Here's why these two out-of-favor high-yield stocks are better income options than ultra-high-yield AGNC Investment (NASDAQ: AGNC) if you happen to have $100 available to put into stock investing right now.
Sometimes, dividend cuts happen for a good reason that may even position a company for a better future. However, in the case of AGNC Investment, dividend cuts appear to be a part of the business model. That's not actually a knock on AGNC Investment, a well-respected mortgage real estate investment trust (REIT). It is simply a statement of fact, given the dividend history.
