Better Income Stock: AT&T or AbbVie?

Dividend stocks can offer a valuable source of income for investors who want to diversify their portfolios. However, investors should also be aware that most of these stocks will gradually decline in value over time unless the Dividend is reinvested.

This may seem surprising, but ample evidence supports this claim. Only a few dividend stocks have been able to provide cash payments to shareholders consistently while also increasing their share prices over time.

Two of the most popular dividend stocks in the market today are (NYSE: T) and AbbVie (NYSE: ABBV), but they have different appeals. AT is attractive for its high yield, currently 6.72%. AbbVie also has a decent yield of 4.02% and has established itself as a leading dividend growth stock and reliable passive income source for shareholders. To illustrate these points, the company has increased its dividend by 287.5% since it spun off from Abbott Laboratories in 2013, and it is a Dividend King due to its heritage.