Which blue chip stocks pay the highest dividends?
Microsoft Corporation (NASDAQ:MSFT), Visa Inc. (NYSE:V), and Apple Inc. (NASDAQ:AAPL) are some of the best blue chip dividend stocks among others that are mentioned below in our list.
Microsoft Corporation (NASDAQ:MSFT), Visa Inc. (NYSE:V), and Apple Inc. (NASDAQ:AAPL) are some of the best blue chip dividend stocks among others that are mentioned below in our list.
Altria Group Inc.
Regularly topping the list of the best S&P 500 dividend stocks, Altria is a popular income investment because of its consistent and reliable yield.
| Company (Ticker) | Sector | Market Cap |
|---|---|---|
| UnitedHealth (UNH) | Health care | $468.47B |
| Nvidia Corp. (NVDA) | Technology | $1.63T |
| JPMorgan Chase & Co. (JPM) | Financial | $502.65B |
| Salesforce (CRM) | Technology | $276.52B |
- Corning Incorporated (NYSE:GLW) ...
- Skyworks Solutions, Inc. ...
- Seagate Technology Holdings plc (NASDAQ:STX) ...
- International Business Machines Corporation (NYSE:IBM) ...
- Texas Instruments Incorporated (NASDAQ:TXN)
| Stock | Market capitalization | Dividend yield |
|---|---|---|
| Dynex Capital Inc. (DX) | $726 million | 12.2% |
| Horizon Technology Finance Corp. (HRZN) | $454 million | 9.7% |
| Permian Basin Royalty Trust (PBT) | $660 million | 4.2% |
| Pennant Park Floating Rate Capital Ltd. (PFLT) | $713 million | 10% |
- PepsiCo PEP.
- Altria Group MO.
- Wells Fargo WFC.
- Comcast CMCSA.
- Bristol-Myers Squibb BMY.
- Gilead Sciences GILD.
- Medtronic MDT.
- NextEra Energy NEE.
| Stock (ticker) | Dividend Yield |
|---|---|
| McDonald's Corporation (MCD) | 2.3% |
| Microchip Technology Incorporated (MCHP) | 1.9% |
| Hubbell Inc. (HUBB) | 1.5% |
| Marsh & McLennan Companies, Inc. (MMC) | 1.5% |
Whether you want to live off dividends today or are investing for the long haul, the best way to build a dividend portfolio for steady income is to follow a simple set of risk management principles: Hold between 20 and 60 stocks to reduce company-specific risk. Roughly equal-weight each position.
Yields from 2% to 6% are generally considered to be a good dividend yield, but there are plenty of factors to consider when deciding if a stock's yield makes it a good investment.
What is the safest stock ever?
- Chevron Corporation (NYSE:CVX)
- The Coca-Cola Company (NYSE:KO)
- The Home Depot, Inc. (NYSE:HD)
- Costco Wholesale Corporation (NASDAQ:COST)
- Walmart Inc. (NYSE:WMT)
- AbbVie Inc. (NYSE:ABBV)
- The Procter & Gamble Company (NYSE:PG)
- Pfizer Inc. (NYSE:PFE)
| Name | Symbol | % Loss |
|---|---|---|
| Bajaj Finance | BAJFINANCE | -10.37 |
| Zee Entertainment Enterprises Ltd. | ZEEL | -8.51 |
| Bajaj Finserv Ltd. | BAJAJFINSV | -6.82 |
| Godrej Consumer Products Ltd. | GODREJCP | -6.41 |
Blue chip stocks are usually less risky and thus considered safer than other stock-based investment options. That's because one of the major determining factors of a blue chip stock is that it must be a well-capitalized company, meaning it should have the financial fortitude to endure an inevitable economic downturn.
For those seeking dividend-paying technology stocks, all three above – ASML Holding ASML, Microsoft MSFT, and NetApp NTAP – could be great considerations.
1. Microsoft. Microsoft (NASDAQ: MSFT) is easily one of the most reliable options in tech, having increased its dividend payout for 19 consecutive years. The company raised its dividend yield to 0.75% in 2023, which translates to an annual payout of $3 per share (three times what it was 11 years ago).
To have a perfect portfolio to generate $1000/month in dividends, one should have at least 30 stocks in at least 10 different sectors. No stock should not be more than 3.33% of your portfolio. If each stock generates around $400 in dividend income per year, 30 of each will generate $12,000 a year or $1000/month.
Kinder Morgan (NYSE: KMI), Equinix (NASDAQ: EQIX), and Lockheed Martin (NYSE: LMT) are three super-safe dividend stocks because they generate contractually secured cash flow and have strong financial profiles. That makes them great options for those seeking to fortify their dividend income in 2024 and beyond.
| Stock | Implied upside from Dec. 29 Close | Forward dividend yield |
|---|---|---|
| AbbVie Inc. (ABBV) | 27.1% | 4.4% |
| Coca-Cola Co. (KO) | 10.3% | 3.1% |
| McDonald's Corp. (MCD) | 6.2% | 2.3% |
| Wells Fargo & Co. (WFC) | 9.7% | 2.8% |
| Company | Dividend % | Dividend (INR) |
|---|---|---|
| Vedanta Ltd. | 1850 | 18.50 |
| Coal India Ltd. | 52.5 | 5.25 |
| Power Finance Corporation Ltd. | 35 | 3.50 |
| NTPC Ltd. | 42.5 | 4.25 |
The Coca-Cola Company's ( KO ) dividend yield is 3.06%, which means that for every $100 invested in the company's stock, investors would receive $3.06 in dividends per year. The Coca-Cola Company's payout ratio is 72.26% which means that 72.26% of the company's earnings are paid out as dividends.
How do you pick a good dividend stock?
- Don't chase high dividend yields. "There's a reason—and not always a good one—that a security is offering payouts that are well above its peers or the broader market," Steve says. ...
- Assess the payout ratio. ...
- Check the balance sheet. ...
- Look at dividend growth. ...
- Understand sector risk. ...
- Consider a fund.
Whereas ordinary dividends are taxable as ordinary income, qualified dividends that meet certain requirements are taxed at lower capital gain rates. The payer of the dividend is required to correctly identify each type and amount of dividend for you when reporting them on your Form 1099-DIV for tax purposes.
| Stock | Dividend yield |
|---|---|
| United Microelectronics Corp. (UMC) | 7.4% |
| Washington Trust Bancorp Inc. (WASH) | 7.7% |
| Exxon Mobil Corp. (XOM) | 3.9% |
| National Storage Affiliates Trust (NSA) | 6% |
At that rate, the dividend on a $100 investment in Coca-Cola stock (assuming fractional shares) would be around $3 per year.
The average price target for Verizon is $44.78. This is based on 18 Wall Streets Analysts 12-month price targets, issued in the past 3 months. The highest analyst price target is $50.00 ,the lowest forecast is $34.00. The average price target represents 8.22% Increase from the current price of $41.38.
