Six High-Yield Stocks You've Never Heard Of
Editor's note: This column was submitted by Stockpickr member Anthony Stapleton.
These are the times that try Stockpickrs' souls -- and their account balances. In difficult times, investors have historically returned to the boring, dull and stodgy favorites that pay dividends .
Individual investors are programmed to focus on gains. Turn to any of your favorite financial television shows and you will notice that the talking heads focus on how much a stock may go up but rarely focus on the downside risk and the dividend yield. This article will highlight several high-yielding dividend-paying stocks that can help provide stability to a portfolio without additional exposure to direct subprime risk.
Why are dividends important?Dividends are a sign of steady profits and a sound business model. Share buybacks are nice, but dividends are the gift that keeps on giving. Paying a dividend is a sign of a company's commitment to provide additional income to its shareholders. Generally, when the professionals start recommending dividend stocks they tout the usual stalwarts:
- Wm. Wrigley (WWY)
- Proctor & Gamble (PG)
- Coca-Cola (KO)
- Emerson Electric (EMR)
- Allstate Insurance (ALL)
- General Electric (GE)
- Koss (KOSS)
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