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7 High-Yield Dividend Stocks That Are Actually Safe

High yields often mean higher risk, but these stocks offer great payouts with a lot less worry than similar yielders

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7 Safe High-Yield Dividend Stocks: Mattel (MAT)

7 Safe High-Yield Dividend Stocks: Mattel (MAT)MAT Dividend Yield: 6%

Shares of Mattel, Inc. (NASDAQ:MAT) are at a 52-week low, so investors may want to be careful in timing an entry point. Catching a “falling knife” is admittedly not safe.

However, concerns about a potential dividend cut are a bit too much. While fourth-quarter earnings disappointed investors and sent shares down 18%, the balance sheet is reasonably strong.

And beneath all that bad news is an attractive opportunity.

MAT stock trades at a notable discount to rival Hasbro, Inc. (NASDAQ:HAS). Meanwhile, a long-building turnaround may have hit a speed bump in Q4, but there’s still reason for optimism looking forward. A series of product launches related to 2017 movies should help this year’s sales. A partnership with Alibaba Group Holding Ltd (NYSE:BABA) will put Mattel merchandise on Alibaba’s Tmall in China. And cost-cutting should help margins going forward.

Indeed, there’s reason to be interested in Mattel as more than just a high-yield dividend stock. There’s a real opportunity for share appreciation — if the company can execute.

Should Mattel do so, shareholder returns will be much more than the 6% in cash that MAT throws off annually.

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Article printed from InvestorPlace Media, http://investorplace.com/2017/03/7-high-yield-dividend-stocks-actually-safe/.

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