Is This Stock's 7.5% Yield an Opportunity or a Trap?

Investors seemingly lack confidence in Verizon Communications (NYSE: VZ). The U.S. telecom giant's share price is down 25% over the past decade.

What's to blame? It seems the lack of meaningful growth is the culprit. Earnings per share (EPS) have been roughly flat over the past eight years, and analysts don't have high expectations for the coming years.

But Verizon's whopping 7.5% dividend yield could appeal to investors more interested in passive income than maximizing total investment returns. The big question is whether investors can trust Verizon to keep paying shareholders.

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Source Fool.com