Earn a 6% Yield From the “AT&T of Brazil”

U.S. stocks have shot the lights out over the past few years. But as investors bid up equity prices, finding decent yields has become tougher. You don’t have the same problem elsewhere. International stocks have fallen out of favor on Wall Street thanks to a combination of slower growth, weak returns, and a strong U.S. dollar. For those willing to do some digging, however, you can find some outright bargains.

Take Telefonica Brasil SA (ADR) (NYSE:VIV) as an example. You can think of this company as the AT&T of Brazil, providing cable, telephone, and Internet services across the country. And with a dividend yield approaching six percent, income investors might want to give this name a second look. Why? Well, Telefonica represents a wonderful business, to begin with. It would cost hundreds of billions of dollars to replicate this company’s assets. And even if you could cough up that kind of dough, a new rival would have to stomach years of operating losses to build a customer base.

Source: Income Investors

Related Articles:
- What's More Powerful Than Compound Interest?
- Dividends vs. Stock Buybacks
- 5 Lessons Learned About Investing In Dividend Growth Stocks
- 4 High Rated, Lower Debt Dividend Stocks With A Reasonable Payout
- 8 High-Yielding Mega-Cap Stocks