Investing
Inflation Just Won't Go Away: Stick With These 5 High-Yield Dividend Giants
Published:
The recent inflation data is undoubtedly far better than the 9.1% increase reported in the summer of 2022. The reality for many Americans though, especially baby boomer seniors and retirees, is that prices for everyday necessities like food, energy, and other necessities remain very elevated. In some cases, they have trended higher. The Federal Reserve worries about a potential spike in the inflation readings due to continued interest rate cuts and the possible effects of President Trump’s tariff policies. Many on Wall Street feel investors could see no rate cuts in 2025.
Small businesses are reported to be having a difficult time with inflation pressures.
Certain sectors are great places to be in an inflationary environment.
High-yield dividend stocks make sense when the dollar’s buying power erodes.
Is inflation eating into your portfolio returns? Why not make a point to visit with a qualified financial advisor near you to get a portfolio check-up? Click here to get started. (Sponsored)
Worried investors concerned about sticky inflation should look to high-yield dividend shares in the energy, healthcare, and consumer goods sectors for companies that will continue to outperform in an ongoing, albeit lower, inflation environment. We screened our 24/7 Wall Street inflation stock database and found five stocks that pay big, dependable, high-yield dividends and can continue to deliver regardless of price increases. All are rated Buy at the top Wall Street firms we cover.
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.
This tobacco company offers value investors a great entry point and a rich 7.87% dividend. Altria Group Inc. (NYSE: MO) manufactures and sells smokable and oral tobacco products in the United States through its subsidiaries.
The company provides cigarettes primarily under the Marlboro brand, as well as:
It sells its tobacco products primarily to wholesalers, including distributors and large retail organizations, such as chain stores.
Altria used to own over 10% of Anheuser-Busch InBev S.A. (NYSE: BUD), the world’s largest brewer. The company sold 35 million of its 197 million shares through a global secondary offering earlier this year. That represents 18% of their holdings but still leaves a hefty 8% of the outstanding shares in their back pocket. They also announced a $2.4 billion stock repurchase plan partially funded by the sale.
This consumer packaged food giant is a very safe idea that pays a stellar 5.12% dividend. Conagra Brands Inc. (NYSE: CAG) and its subsidiaries operate primarily in the United States as a consumer packaged goods company.
The company operates through four segments:
The Grocery & Snacks segment primarily offers shelf-stable food products through various retail channels.
The Refrigerated & Frozen segment provides temperature-controlled food products through various retail channels.
The International segment offers food products in various temperature states through retail and food service channels outside the United States.
The food service segment offers branded and customized food products, including meals, entrees, sauces, and various custom-manufactured culinary products packaged for restaurants and other food service establishments.
The company sells its products under these well-known brands:
This company is one of the largest publicly traded energy partnerships and pays a 6.37% dividend. Enterprise Products Partners L.P. (NYSE: EPD) provides various midstream energy services, including:
The company has four reportable business segments:
Many Wall Street analysts like the stock because of its distribution coverage ratio, which is well above 1x. This makes the company relatively less risky in the MLP sector.
This top consumer staples stock posted earnings for the third quarter that were in line with expectations. It will continue to supply all the goods for the Super Bowl and March Madness parties, and it pays a solid 3.66% dividend. PepsiCo Inc. (NYSE: PEP) is a worldwide food and beverage company.
Its Frito-Lay North America segment offers:
The company’s Quaker Foods North America segment provides:
PepsiCo’s North America Beverages segment offers beverage concentrates, fountain syrups, and finished goods under these brands:
Pfizer
This top pharmaceutical stock was a massive winner in the COVID-19 vaccine sweepstakes but has been beaten down over the last few years as many are not getting boosters. Pfizer Inc. (NYSE: PFE) discovers, develops, manufactures, markets, distributes, and sells biopharmaceutical products worldwide and pays a hefty 6.54% dividend, which has risen yearly for the last 14 years.
The company offers medicines and vaccines in various therapeutic areas, including:
Pfizer also provides medicines and vaccines in various therapeutic areas, such as:
Trading not far from its lowest split-adjusted level in thirteen years, the stock is an incredible bargain at current levels and pays a massive dividend.
The pharmaceutical giant reported third-quarter 2024 revenues of $17.7 billion, representing 32% year-over-year operational growth. Patient investors will receive one of the highest blue-chip dividends, and shares trade at a reasonable 8.97 times estimated 2025 earnings.
Four High-Yield Stocks With 7% and Higher Dividends Are 2025 Home Runs
The Average American Is Their Savings Every Day (Sponsor)
If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4% today. Checking accounts are even worse.
But there is good news. To win qualified customers, some accounts are paying almost 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.