3 Top High-Yield Dividend Stocks I Just Bought in My Retirement Account

Core Viewpoint - Dividend stocks have historically outperformed non-payers, delivering an annualized return of 9.2% over the last 50 years compared to 4.3% for non-payers [1] Group 1: Dividend Stocks Performance - Companies that pay higher-yielding, steadily growing dividends have delivered the highest returns with the lowest volatility [2] - Enbridge currently offers a 6.3% dividend yield, significantly higher than the S&P 500's 1.3% yield [3] - Invitation Homes has a dividend yield of 3.5% and has increased its dividend every year since going public in 2017 [6][9] - Kenvue also offers a 3.5% dividend yield and has initiated its dividend payments in 2023, continuing the legacy of its former parent company, Johnson & Johnson [9][10] Group 2: Company-Specific Insights - Enbridge generates stable cash flow, with 98% of its earnings coming from cost-of-service or contracted assets, allowing it to pay out 60%-70% of its cash flow in dividends [3][4] - Enbridge has a multibillion-dollar backlog of capital projects, including natural gas pipelines and renewable energy developments, ensuring future growth and dividend increases [5] - Invitation Homes reported a same-store net operating income growth of 4.6% last year, benefiting from strong demand for single-family rental properties [7] - Invitation Homes is actively expanding its portfolio, having purchased 2,200 homes for $765 million last year, which supports future rental income growth [8] - Kenvue's portfolio generated nearly$15.5 billion in sales last year, with $1.3 billion in free cash flow, positioning it well for continued dividend increases [11] Group 3: Investment Strategy - Enbridge, Invitation Homes, and Kenvue are identified as high-quality, high-yielding dividend stocks that are expected to continue increasing their payouts, contributing to portfolio growth [12]