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The Smartest High-Yield Dividend Stocks to Buy With $100 Right Now
FRTFederal Realty Investment Trust(FRT) The Motley Fool·2025-03-16 14:13

Core Viewpoint - High dividend yields, such as the 14% yield from AGNC Investment, may appear attractive but often come with risks and inconsistencies in dividend payments [1][5]. AGNC Investment Analysis - AGNC Investment has a history of dividend cuts, which seem to be part of its business model rather than isolated incidents [2][5]. - The company's dividend initially rose sharply post-IPO but has since experienced a long decline, negatively impacting both income and capital for investors relying on dividends [3][4]. - The likelihood of continued dividend cuts suggests that AGNC Investment may not be suitable for investors prioritizing dividend consistency [5]. Alternative Investment Options - NNN REIT offers a more reliable dividend yield of approximately 5.5%, with a track record of annual increases for 35 consecutive years, making it a dependable choice for income investors [7]. - NNN REIT's business model focuses on single-tenant retail properties and partnerships with growing retailers, enhancing its potential for consistent returns [8][9]. - Federal Realty stands out as a "Dividend King," having increased its dividend for 57 consecutive years, with a yield of 4.5%, making it an excellent option for those seeking reliable dividends [10]. - Federal Realty's strategy emphasizes quality over quantity, owning around 100 well-located properties with significant upgrade potential, which contributes to its value creation [11][12]. Investment Recommendation - Investors are encouraged to consider adding NNN REIT and Federal Realty to their portfolios for reliable income streams, with NNN REIT being more accessible due to its lower stock price [13].