WPP - 3 Stocks to Buy With Dividends Yielding More Than 4%
It isn't easy finding sizable dividend yields when the S&P 500 Index is sitting near all-time highs and offering a somewhat paltry yield of around 2%. In fact, it usually requires stepping into investments that are out of favor for some reason. That said, if dividend investors tread carefully they can still find good yields from financially strong companies, even in sectors stuck in the Wall Street dog house. Here are three dividend stocks that deserve a closer look today.
Normally ExxonMobil (NYSE: XOM) gets my nod for high-yield oil companies, but right now Chevron (NYSE: CVX) and its 4% yield may actually have an edge for more conservative investors. That's because Chevron's production has been growing over the last few years, while Exxon's production is only just starting to hit an inflection point. Put simply, Chevron's past spending is paying off right now, while Exxon has been forced to ramp up its capital investment plans. To put a figure on that, Exxon is expecting to spend as much as $35 billion a year through 2025, while Chevron's capital budget is projected to be in the $20 billion space for the next few years. Chevron's production, meanwhile, is expected to rise, on average, between 3% and 4% a year through 2023.
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