19 Safe August Dividend Payers for the S&P 500

Dan Burrows of Kiplinger Investing identifies 19 "safer" dividend-paying stocks in the S&P 500, excluding those with the highest yields that may be "fool's gold." The focus is on stable, established companies with a history of consistent dividend payments, as they are less likely to be impacted by market volatility. These stocks offer a more reliable source of income for investors seeking a steady return.

Dan Burrows of Kiplinger Investing has identified 19 "safer" dividend-paying stocks in the S&P 500, excluding those with the highest yields that may be "fool's gold." The focus is on stable, established companies with a history of consistent dividend payments, making them less likely to be impacted by market volatility. These stocks offer a more reliable source of income for investors seeking a steady return.

Burrows notes that while most of the S&P 500 dividend stocks are too pricey and reveal only skinny dividends, 19 of the 41 highest yield "safer" S&P 500 Dogs are ready to buy. These stocks include Conagra (CAG), Healthpeak Properties (DOC), Verizon (VZ), Bristol-Myers Squibb (BMY), General Mills (GIS), Campbell’s (CPB), Viatris (VTRS), Kimco Realty (KIM), Truist Financial (TFC), Keycorp (KEY), UDR Inc (UDR), Kinder Morgan (KMI), HP Inc (HPQ), Regions Financial (RF), Hormel Foods (HRL), Invesco (IVZ), AT&T (T), Kenview (KEN), and Huntington (HBAN).

These stocks are considered "safer" because they have free cash flow adequate to support their dividends. With renewed downside-market-pressure of up to 50%, all 41 of the top "safer" dividend dogs could become ideal fair-priced buys, with annual yield (from $1K invested) meeting or exceeding their single share prices.

Analysts expect 23.22% to 40.24% net gains from these top-ten S&P 500 Dogs by August 2026. Six of the ten top dividend-yielding S&P 500 divi-dogs were among the top ten price gainers for the coming year based on analyst 1-year target prices. The average net gain in dividend and price was estimated at 31.49% on $10k invested as $1k in each of these top ten S&P 500 dividend stocks.

Investors should be cautious and do their own research before making investment decisions. The Dividend Dogs Rule stocks are defined by three traits: paying reliable, repeating dividends, their prices fell to where yield (dividend/price) grew higher than their peers, making them "underdogs."

References:
[1] https://seekingalpha.com/article/4814107-dogs-of-sp500-buy-19-ideal-safer-august-dividend-payers