20 High-Yield Dividend Stocks Expected to Maximize Payouts Through 2024

There are several ways to pick stocks based on dividends. An investor may look for companies that pay high dividends in the hope that the payouts will continue to grow. Or the investor may focus less on high current yields and more on consistent dividend increases.

Here’s a screen of stocks that take the first approach, starting with companies whose stocks have dividend yields at least as high as the yield on the 10-year U.S. Treasury note TMUBMUSD10Y,
3.117%,
which was 3.10% when trading ended on August 29. (For reference, the S&P 500 SPX,
-1.24%
has a weighted dividend yield of 1.63%, according to FactSet.)

Interest rates are rising rapidly as the Federal Reserve pushes to slow the economy as part of its effort to reduce inflation. The 10-year yield has more than doubled from 1.52% at the end of 2021.

There are several ways to check dividend stocks. One way is to look at cash flow estimates to identify a group of companies that can be expected to easily support their current dividends. This provides comfort that dividends will not only not be cut, but will be increased. Here’s a screen of real estate investment trusts that appear well-placed to grow dividends.

The highest ‘CAGR’ for dividend payments

For this display, we took a simple approach. Among the S&P 500, there are 111 stocks with dividend yields of 3.10% or higher. These 20 are expected to post the highest compound annual growth rates (CAGR) for their dividend payouts through 2024, based on consensus estimates among analysts polled by FactSet:

Company

Heart

Dividend yield

Expected dividend two-year CAGR

Estimated dividend – 2022

Estimated dividend – 2023

Estimated dividend – 2024

Tapestry Inc.

TPR,
+0.85%

3.42%

21.7%

$0.87

$1.22

$1.29

Stanley Black & Decker Inc.

SWK,
-0.47%

3.56%

14.3%

$2.89

$3.16

$3.77

Amgen Inc.

AMGN,
+0.06%

3.24%

12.0%

$7.68

$8.43

$9.63

Bank of New York Mellon Corp

BK,
-0.06%

3.54%

10.5%

$1.42

$1.56

$1.74

Ford Motor Co.

FA,
-1.96%

3.85%

10.4%

$0.48

$0.55

$0.58

Comerica Inc.

CMA,
-0.19%

3.36%

9.8%

$2.74

$2.93

$3.30

Eastman Chemical Co.

emn,
-1.76%

3.20%

9.0%

$3.06

$3.28

$3.64

Devon Energy Corp.

dvn,
-5.00%

6.29%

8.4%

$0.68

$0.75

$0.80

HP Inc.

HPQ,
+0.14%

3.17%

8.4%

$0.98

$1.06

$1.15

Northern Trust Corp.

NTRS,
+0.14%

3.15%

8.2%

$2.91

$3.13

$3.41

Invesco Ltd.

IVZ,
-1.50%

4.42%

8.2%

$0.73

$0.77

$0.86

Best Buy Co. Inc.

BBY,
+1.97%

4.78%

8.1%

$3.35

$3.65

$3.92

PNC Financial Services Group Inc.

PNC,
-0.56%

3.75%

8.1%

$5.78

$6.33

$6.76

State Street Corp.

STT,
+0.42%

3.67%

8.1%

$2.39

$2.59

$2.79

Regions Financial Corp.

RF,
-0.14%

3.68%

7.9%

$0.74

$0.83

$0.86

Citizens Financial Group Inc.

CFG,
-0.14%

4.57%

7.9%

$1.62

$1.73

$1.88

NRG Energy Inc.

NRG,
-0.88%

3.37%

7.8%

$1.40

$1.51

$1.63

Garmin Ltd.

GRMN,
-1.35%

3.22%

7.7%

$2.87

$3.10

$3.33

Hewlett Packard Enterprise Co.

HPE,
-0.62%

3.50%

7.5%

$0.48

$0.51

$0.56

Morgan Stanley

LADY,
-0.63%

3.63%

7.4%

$2.97

$3.18

$3.43

Source: FactSet

As always, you should do your research to form your own opinion before considering any investment. One way to start this process is by clicking on the tickers for more information. Also, click here for Tomi Kilgore’s detailed guide to the wealth of information available for free on MarketWatch’s quote pages.

Here’s another approach to picking dividend stocks.

Dont miss: This investment strategy acts on 18 trends to reduce risk when the stock market is volatile

Hear Ray Dalio at MarketWatch’s Best New Ideas in Money Festival on September 21st and 22nd in New York. The hedge fund pioneer has strong views on where the economy is headed.

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