This Ultra-High Dividend Stock Is Yielding 7%: Should You Buy It With $1,000 Right Now?
This long-standing consumer staples business can provide you with steady income year-after-year.
Stocks are falling. Financial TV is rolling out the "Markets in Turmoil!" headlines. Uncertainty abounds over how much President Trump's tariffs will impact the U.S. economy. Both the broader Nasdaq Composite and the big-tech heavy Nasdaq-100 indexes are now down by more than 12% from their early January peaks as investors take their money out of higher-risk growth stocks, further fueling people's fears.
Not all stocks are falling, though. In times of uncertainty, investors tend to flee to safety in the form of low-risk dividend-paying stocks like Altria Group (NYSE: MO). The tobacco and nicotine giant is up almost 10% year to date and still sports a dividend with a 7% yield. With those facts in mind, should you buy Altria stock with $1,000 right now?
Altria is the parent company of Philip Morris USA, which primarily sells cigarettes in the United States under an array of brands including Marlboro, its best-selling brand by far. While cigarettes are still smoked widely, sales volumes in the U.S. have been declining for decades now, and they continue to. In the fourth quarter, Altria's cigarette sales volume fell by about 8% year over year.
