As a risk-averse income investor, I always approach double-digit yielders with caution. The reason is simple: when most blue-chip companies can’t even pay you four percent, what makes you think that a 10% yield would be sustainable? The blunt reality is that most double-digit yielders are not the safest bets. But that doesn’t mean we should ignore all of them completely, because every once in a while, you may come across a high-yield stock that can actually afford its payout.
Case in point: BlackRock TCP Capital Corp (NASDAQ:TCPC) is a specialty finance company headquartered in Santa Monica, California. The company has a quarterly dividend rate of $0.36 per share, which translates to an annualized payout of $1.44 per share. And since TCPC stock is currently trading at $13.47 per share, it offers an annual dividend yield of 10.7%. No doubt, such a jaw-dropping yield simply seems too good to be true. But like I said, this company is an exception.
Source: Income Investors
Related Articles:
- Dividend Stocks vs. a Safe Distribution Rate
- 5 Select High-Yield S&P 500 Dividend Stocks
- High-Yield Managed Distribution Policy Funds
- 5 Blue Chip Dividend Stocks For When the Chips Are Down
- 6 Dividend Stocks With A Good Yield And Growth Balance
Earn a Rock-Solid Yield of 10.7%?
Posted by D4L | Monday, September 02, 2019 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
In this article, we discuss 5 best consumer staples dividend stocks to buy now. If you want to read our detailed analysis of the consumer st...
-
If you've been holding back from investing in your future just because you don't have a lot of extra cash to spare, I've got gre...
-
Dividend stocks cater to investors who want less volatility and stable cash flow. Some dividend stocks offer a combination of respectable yi...
-
I stumbled upon some data a few years back that has altered my investment philosophy. According to data by Ned Davis Research and Hartford F...
-
Following a strong year for the S&P 500 and huge gains for the tech-heavy Nasdaq Composite, it's a lot more difficult to find reason...
-
The company's remarkable consistency and low-risk business model make it a "first-choice investment opportunity," according to...
-
One way to achieve financial freedom is to create passive income, or income that does not depend on your active involvement beyond a certain...
-
If you are here to build a portfolio that thrives in all seasons, consider dividend stocks. They can generate steady returns and provide sta...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.