Best Dividend Stocks for Retirement – AT&T (T)
I mentioned telecom earlier, so let’s start with AT&T (T). The venerable telecom company may not be growing earnings so much, but there’s nothing wrong with a company that routinely generates $14 billion of annual free cash flow. AT&T uses about 70% of that FCF to pay shareholders, making T stock one of the highest-dividend stocks out there, and one of the most secure.
AT&T’s purchase of DirecTV (DTV) shouldn’t affect its ability to pay that dividend, either, since DTV has great FCF as well.
T stock doesn’t have much volatility, so capital preservation isn’t much of a worry, and its 5%-plus yield is safe for a long time.