Don’t Fall for These 3 Dividend Stocks: They May Have to Make a Cut.
From Nasdaq: 2025-05-18 12:05:00
- Dividend stocks can provide steady income in uncertain markets. Companies that grow dividends historically offer higher total returns with less volatility. Three stocks with shaky dividend outlooks should be avoided.
- AbbVie, a pharmaceutical giant known for drugs like Skyrizi and Botox, faces challenges with a high payout ratio of 266% and declining sales of Humira. Medtronic, a medical device company, has a high payout ratio of 84.7% and stagnant net income growth.
- Pfizer, a leading pharmaceutical company, offers an attractive annual yield of 7.6% but faces challenges with a high payout ratio of 121.5% and declining revenue. Investors should be cautious with these high-yield dividend stocks due to associated risks.
Read more at Nasdaq: Don’t Fall for These 3 Dividend Stocks: They May Have to Make a Cut.