Investing in dividend-paying stocks can provide a regular income, but it’s crucial to ensure the company can sustain payouts. Walmart and Macy’s are two retailers that pay dividends. Walmart serves over 270 million customers weekly and generated $7.2 billion in operating profit in the last quarter. They have raised dividends for over 50 years.

Macy’s, known for its turnaround efforts, saw a 3.4% increase in same-store sales last quarter. Their adjusted diluted earnings per share doubled to $0.09. Macy’s generated $545.7 million in free cash flow over the last 12 months and has a 3.2% dividend yield.

Walmart’s dividend yield is 0.7%, lower than the S&P 500’s 1.1% due to its strong performance. Macy’s has a 3.2% dividend yield but is undergoing a turnaround effort. Investors should be cautious about potential dividend cuts if sales growth falters.

The Motley Fool Stock Advisor did not include Walmart in their top 10 stocks to buy now. Their top picks historically outperformed the market significantly. Investors can consider other opportunities for higher returns.

Read more at Yahoo Finance: Best Dividend Stock to Buy Right Now: Walmart vs. Macy’s