6 Dividend Stocks Retirees Are Quietly Buying for Steady Income

Core Insights - Dividend stocks provide retirees with a steady income stream and potential for capital appreciation, which is essential for combating inflation during retirement [1] Group 1: Dividend Stock Selection - Selecting dividend stocks requires careful consideration beyond just high yields, as stocks with extremely high yields may indicate financial distress and potential dividend cuts [2] - The focus should be on investing in stable, well-managed companies with consistent and predictable cash flows [2] Group 2: Company Profiles - Coca-Cola (KO): Known for its strong brand, Coca-Cola has a reliable cash flow that has enabled it to increase its dividend for 64 consecutive years, making it a top choice for dividend investors [3][4] - Verizon Communications (VZ): Despite being considered a slow-growth stock, Verizon offers a high dividend yield of 6.93%, which surpasses many bonds, and has sufficient cash flow to support its dividend payments [5][8] - AT&T (T): AT&T has stabilized its cash flow by focusing on wireless and broadband operations, allowing it to maintain a substantial dividend yield [6] - Texas Instruments (TXN): Texas Instruments offers an annual dividend of $5.68 with a yield of 3.54%, contributing to its market capitalization of $145.13 billion [10]