High-Yield Dividend Stocks to Buy Right Now

There’s no shortage of great high-yield dividend stocks to add to your portfolio. Here’s a look at two must-have candidates to buy today.

| More on:
grow money, wealth build

Image source: Getty Images

Adding some great high-yield dividend stocks to your portfolio can make the difference between retiring comfortably or needing to work several years longer. Fortunately, the market gives us plenty of income stocks to choose from.

Here are some of those high-yield dividend stocks to buy now to hold for decades.

Start with a defensive pick that offers a juicy income

Enbridge (TSX:ENB) is the first stock that investors should consider right now. This high-yield dividend offers a juicy yield of 7.52%, making it one of the better-paying options today.

That yield means investors dropping $35,000 into Enbridge can expect to generate a first-year income of over $2,640. Even better, Enbridge has provided investors with annual bumps to that dividend going back three decades and expects to continue that tradition.

In other words, Enbridge is a great buy-and-forget option. But can it continue to generate revenue that allows for that juicy high-yield dividend?

Enbridge is best known for its massive pipeline network that transports huge amounts of crude and natural gas. The pipeline generates the bulk of Enbridge’s revenue, and the sheer volume involved makes it a defensive gem.

In addition to its pipeline business, Enbridge also boasts a renewable energy business and natural gas utility.

The renewable segment comprises over 40 facilities located across Europe and North America. That includes solar and wind elements. Additionally, those facilities are subject to long-term regulated contracts, making them incredibly defensive options for investors. Over the past two decades, Enbridge has dropped over $9 billion into the segment.

Turning to Enbridge’s natural gas segment, the company boasts the largest natural gas utility in North America with seven million customers. This too makes Enbridge a great defensive stock to consider.

Despite that appeal. Enbridge has traded down over the trailing two-year period by over 15%. This fact alone makes it a superb time to pick up a great high-yield dividend stock.

How about a telecom with an insane yield?

It would be nearly impossible to mention high-yield dividend stocks without mentioning BCE (TSX:BCE). BCE is one of the largest telecoms in Canada, as well as one of the most defensive stocks to consider right now.

Telecoms are great long-term investments thanks to their defensive business models. In short, they provide subscription-based offerings that have become increasingly necessary in recent years. This includes wireless and home internet connections, which have increased in importance since the pandemic started.

In addition to its core subscription-based business, BCE also offers a large media segment that provides an alternative source of revenue for the company. But despite that appeal, the stock has tumbled to new lows over recent weeks.

In fact, as of the time of writing, BCE is trading at levels not seen for a decade. At the same time, that dip has swelled BCE’s quarterly yield to an insane 8.58%. Using that same $35,000 example noted above, investors can expect an income of just over $3,120.

And like Enbridge, BCE has provided investors with annual upticks to that juicy dividend for over a decade. Interestingly, BCE has paid that dividend without fail to investors for well over a century.

Will you buy these high-yield dividend stocks?

Both Enbridge and BCE offer investors a defensive package that can provide both growth and income for decades. Even better, they both trade at decent discounts over the longer term despite offering that defensive appeal.

In short, both BCE and Enbridge would do well as a small part of a larger, well-diversified portfolio.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Demetris Afxentiou has positions in BCE and Enbridge. The Motley Fool recommends Enbridge. The Motley Fool has a disclosure policy.

More on Dividend Stocks

Payday ringed on a calendar
Dividend Stocks

TFSA Monthly Money: How to Generate Consistent Tax-Free Passive Income

Adding these two attractive Canadian dividend stocks to your TFSA now could help you earn reliable monthly passive income for…

Read more »

analyze data
Dividend Stocks

3 Magnificent TSX Dividend Stocks to Buy and Hold Forever

Do you want to hold some quality dividend stocks for the decades ahead? Here are three stocks worth holding for…

Read more »

HIGH VOLTAGE ELECRICITY TOWERS
Dividend Stocks

How Much Will Canadian Utilities Pay in Dividends This Year?

Investors can stabilize their long-term stock portfolio returns by accumulating quality utility stocks on meaningful dips.

Read more »

edit Real Estate Investment Trust REIT on double exsposure business background.
Dividend Stocks

The 3 Top Canadian REITs to Buy in May 2024

These REITs in strong sectors are well-positioned to deliver passive income through regular dividend payments.

Read more »

Family relationship with bond and care
Dividend Stocks

Dividend Investors Can Earn $500 Every Month or More With the Right Stock Offering a 6% Yield

Two high-yield monthly income stocks are attractive options for dividend investors, including retirees.

Read more »

Question marks in a pile
Dividend Stocks

Down 14%: Is This Toymaker Stock a Good Buy in MAY 2024?

The right time to buy a discounted stock can be difficult to pin down, especially when there are no clear…

Read more »

Various Canadian dollars in gray pants pocket
Dividend Stocks

2 Dividend Stocks That Could Create $2,484.40 in Passive Income in 2024

These two passive-income stocks offer not just dividends but returns as well! And should continue to do so for at…

Read more »

lab worker inspects test tubes
Dividend Stocks

Time to Pounce: 2 Ultra-High-Yield S&P 500 Dividend Stocks That Are Screaming Buys Right Now

More than a dozen S&P 500 components sport "ultra-high yields." Two of these time-tested titans are begging to be bought…

Read more »