In this article, we will be discussing the 15 best dividend stocks to buy and hold for passive income. Dividend stocks are stocks that pay out a portion of their earnings to shareholders in the form of dividends. These stocks can be a great way for investors to generate a reliable second income, especially in times of market volatility.
NYCB and ET stocks are two promising options for investors looking for passive income. New York Community Bancorp (NYSE:NYCB) has a long history of paying out dividends and currently offers a dividend yield of 5.73%. Energy Transfer (NYSE:ET) is another strong option, offering a dividend yield of 6.69%.
When it comes to targeting a reliable second income through dividend stocks, there are a few key factors to consider. One important factor is the company's history of paying out dividends. Companies with a long history of paying out dividends are more likely to continue doing so in the future.
Another important factor to consider is the company's financial health. Companies with strong financials are more likely to continue paying out dividends, even in times of market volatility.
It's also important to consider the company's dividend yield. While higher dividend yields can be attractive, they can also indicate that the company has a higher risk profile. It's important to balance the potential for higher income with the potential for higher risk.
Market indicators have been sending conflicting signals lately, creating uncertainty among investors. While year-to-date gains are certainly encouraging, there are still concerns about inflation, rising interest rates, and geopolitical tensions.
Despite these concerns, dividend stocks remain an attractive option for investors looking for passive income. In fact, higher dividend yields can often provide a cushion against market volatility, as investors continue to receive income even if the stock price drops.
This week, several dividend stocks are trading close to their 52-week lows. Against this backdrop, here are 10 stocks reaching their 52-week lows that investors may want to consider:
- Altria Group (MO)
- AT&T (T)
- Chevron (CVX)
- IBM (IBM)
- Johnson & Johnson (JNJ)
- McDonald's (MCD)
- Procter & Gamble (PG)
- Southern Company (SO)
- Verizon Communications (VZ)
- Walgreens Boots Alliance (WBA)
While there are headwinds to the housing market, there is also pent-up demand from Millennial homebuyers. For investors looking to capitalize on this trend, there are two high-yield stock picks to consider: American Homes 4 Rent (AMH) and AvalonBay Communities (AVB).
In addition to NYCB and ET, there are several other dividend stocks that investors may want to consider. These dividend payers could produce powerful total returns over the next several years:
Brookfield Renewable Partners (BEP)
Digital Realty Trust (DLR)
Iron Mountain (IRM)
Johnson Controls International (JCI)
Kinder Morgan (KMI)
NextEra Energy (NEE)
Realty Income (O)
If you're a Canadian investor looking for affordable dividend stocks, there are three picks to consider for April 2023. These stocks offer attractive yields of up to 11%:
Canadian Natural Resources (CNQ)
Pembina Pipeline (PPL)
Shaw Communications (SJR.B)
In conclusion, dividend stocks can be an excellent way to target a reliable second income. By considering factors such as a company's dividend history, financial health, and dividend yield, investors can identify promising options for passive income.