My Best Dividend-Paying Tech Stock for 2021
Broadcom (NASDAQ: AVGO) is likely best known for the computer chips it develops. Now, a move into the software business has made it a more diversified tech stock -- and helped it become one of the more intriguing dividend stocks, too. Let's take a closer look to find out why.
Broadcom now pays an annual dividend of $14.40 per share, a yield of around 3.1% at current prices. That's nearly double the current S&P 500 dividend yield of approximately 1.6%.
Investors can also remain confident in this dividend. In fiscal 2020, the dividend cost Broadcom just over $5.5 billion, meaning the payout claims about 47% of the company's free cash flow of $11.6 billion. This leaves the company well-positioned to cover this obligation.
Source Fool.com
