6 Trustworthy Dividend Stocks to Buy Now

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handshakeThese high-dividend stocks have been an oasis throughout the market volatility of 2011, and they will continue to offer a place where investors entering into the market can feel secure.

New money flowing into stocks will head for the safest stocks with the highest and most reliable dividends.

Here are six trustworthy dividend stocks to buy now:

Altria Group Inc. (NYSE:MO) is legendary for its dividend payout — representing a 6% dividend yield! And, despite declines in cigarette shipping volume and a tough regulatory environment, this company keeps delivering strong operating income. Particularly, the company’s flagship premium brand Marlboro is still going strong thanks to its strong base of loyal consumers.

Companhia de Bebidas das Americas (Ambev) (NYSE:ABV) has been a favorite stock of mine for several years. Not only is ABV the dominant beer and beverage company in Argentina, Brazil and Canada, it also pays one of the highest and most dependable dividends on this list. With a stronghold in emerging markets and a 4.5% dividend yield, I don’t see any reason to sell this stock in the near term.

Dr Pepper Snapple Group (NYSE:DPS) is benefiting from booming international sales and a weak dollar. Latin America is a key sales driver for the company, and many currencies in South America have been appreciating against the dollar. Like ABV, Dr Pepper Snapple is profiting from a growing middle class in Latin America. For the fourth quarter, the analyst community is expecting 4.7% annual sales growth and 11.9% earnings growth. The company trades at only 12.9 times 2012 forecasted earnings and has a very attractive 3.5% annual dividend yield.

McDonald’s Corp. (NYSE:MCD) has stayed true to its roots while consistently introducing new menu items. New offerings have led to strong global comparable sales, and in the most recent quarter the company enjoyed a 12% increase in sales. Over the same period, net income gained 9%. Earnings per share also trumped the consensus estimate of $1.43. I’m excited to see a well-established company like McDonald’s continue to grow sales and earnings at this rate. And company leadership sees no sign of stopping.

Philip Morris International Inc. (NYSE:PM) makes seven of the top 15 brands of tobacco products in the world and sells its cigarettes in 160 countries. There will always be regulatory issues with tobacco companies, but PM has weathered them all and will continue to aggressively grow its business and its dividend. The current yield is 4.2%, and with several dividend increases over the past few years I only expect that payment to rise in the year to come.

Reynolds American Inc. (NYSE:RAI) currently pays a 5.3% dividend. The combination of capital returns and steady dividend payments is enough for me to continue to recommend this stock throughout the year to come.


Article printed from InvestorPlace Media, https://investorplace.com/2011/12/trustworthy-dividend-stocks-buy-now-mo-abv-dps-mcd-pm-rai/.

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