Earning dividend income is a major part of my investment strategy. My goal is to eventually generate enough passive income to cover my basic living expenses.
I love Invest in high yielding dividend stocks Because they should help me reach my goal quickly. Here are my top three things to buy this May.
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main road capital
main road capital (main 4.05%) there is one Business Development Company (BDC) Focused on providing capital (debt and equity) to middle market companies (less than $500 million in annual revenue). Those investments generate interest and dividend income. BDCs must distribute 90% of their taxable net income to shareholders through dividends every year.
The lender offers two dividend streams to investors. it pays a monthly dividend Set a rate that can be sustained even during tough times. Main Street has never reduced or suspended its monthly dividend. Instead, it has increased this payout by 141% since its 2007 IPO (including 3.9% over the last year). Additionally, BDC pays a supplemental quarterly dividend from time to time. It has increased its monthly dividend for 12 consecutive quarters while paying 19 consecutive supplemental dividends. At current annual rates, Main Street Capital’s earnings yield on its recent share price is 7.8%.
today’s change
(-4.05%) $-2.28
current price
$54.06
key data points
market cap
$4.9B
day limit
$52.89 -$55.53
52wk range
$50.42 -$66.76
volume
55K
average volume
782K
gross margin
100.00%
dividend yield
6.65%
wiki properties
wiki properties (VICI +0.17%) there is one Real Estate Investment Trust (REIT) Focused on experiential real estate. It invests in market-leading gaming, hospitality, wellness, entertainment and leisure destinations. It leases its owned properties under very long-term, triple-net leases that grow at inflation-linked rates. Additionally, REITs invest in real estate-backed loans that generate interest income and often come with an option to purchase the underlying property in the future.
The REIT’s dividend currently stands at 6.2%. Vici Properties has grown its payout at a 7% compound annual rate since the end of 2018, well above the 2.4% average growth rate of other REITs focused on investing in triple-net real estate. Vici Properties recently closed a $1.2 billion investment in seven gaming properties and expanded $1 billion in real estate-backed debt investments. These and other investments support the REIT’s continued dividend growth.
Verizon
Verizon (VZ +0.27%) is a leading mobile and broadband provider. This generates recurring revenue as customers pay their cellphone and internet bills. The company generates strong cash flows, supporting its 6%-yielding dividend.
today’s change
(0.27%) $0.13
current price
$47.22
key data points
market cap
$197B
day limit
$46.96 -$47.46
52wk range
$38.39 -$51.68
volume
379K
average volume
27m
gross margin
45.50%
dividend yield
5.86%
Verizon has increased its dividend for 19 consecutive years. The telecom company should be able to continue increasing its payout. It is expected to generate free cash flow of $21.5 billion this year after financing capital expenditure of up to $16.5 billion. This is 7% more than last year and its highest total since 2020. Verizon should continue to grow its free cash flow as it executes its expansion strategy and cost-saving initiatives, continuing to support dividend Increases.
Top Earning Stocks
Main Street Capital, Vici Properties and Verizon simply don’t pay high-yield dividends. These companies keep increasing their payouts regularly. The combination of a high current income stream and steady growth is why they are my top high-yield dividend stocks to buy this month.
Matt DeLallo Main Street Capital, Verizon Communications and Vici Properties have positions. The Motley Fool recommends Verizon Communications and Viki Properties. The Motley Fool has one Disclosure Policy.