Should You Buy the 3 Highest-Paying Dividend Stocks in the Dow Jones?
The Dow Jones Industrial Average is a collection of 30 blue chip stocks. Many of these long-standing, high-quality companies pay a dividend to shareholders, and these can be some of the most consistent dividend payers in the market.
But when dividend yields climb too high, it might be a warning sign for investors. A stock might have a high dividend yield because the outlook for the business (or the dividend itself) doesn't bode well. While the following three companies are all part of the premier blue chip index, investors need to dive deeper before jumping into a stock simply for its payout.
Verizon Communications (NYSE: VZ) has offered a generous dividend for a long time, but its yield has moved substantially higher over the last 18 months. That's not a result of its dividend increases (although the company has raised its dividend for 17 years straight). It's the result of a significant decline in the stock price.
Source Fool.com
