2 High-Yield Stocks That Could Be Easy Wealth Builders
Friday, Jan 10, 2025 11:11 am ET
4min read
EPD --
As an investor, you're always on the lookout for stocks that can generate substantial income and appreciate in value over time. High-yield dividend stocks are an excellent way to achieve this, as they offer attractive returns and the potential for capital appreciation. In this article, we'll explore two high-yield dividend stocks that could be easy wealth builders for your portfolio.
1. Enterprise Products Partners (EPD)
Enterprise Products Partners is a leading midstream energy company that operates pipelines, natural gas processing facilities, and other energy infrastructure assets. The company has a strong track record of dividend growth, having increased its distribution for 61 consecutive quarters. With a current yield of 6.4%, EPD offers an attractive income stream for investors.
EPD's business model is supported by long-term contracts and fee-based revenue, which provides a stable cash flow to support its dividend. The company's diversified portfolio of assets and strong financial position make it a reliable choice for income-oriented investors. Additionally, EPD's exposure to the growing demand for natural gas and natural gas liquids (NGLs) positions it well for long-term growth.
2. Crown Castle (CCI)
Crown Castle is a leading provider of wireless infrastructure, with a portfolio of over 40,000 cell towers and small cell nodes across the United States. The company's business model is driven by long-term leases with wireless carriers, providing a stable and growing revenue stream. With a current yield of 6.1%, CCI offers an attractive income stream for investors.
Crown Castle's dividend growth has been impressive, with a 10-year compound annual growth rate (CAGR) of 10.5%. The company's strong financial position and balance sheet provide a solid foundation for continued dividend growth. Additionally, CCI's exposure to the growing demand for wireless data and the deployment of 5G networks positions it well for long-term growth.
In conclusion, Enterprise Products Partners and Crown Castle are two high-yield dividend stocks that could be easy wealth builders for your portfolio. Both companies have strong business models, attractive income streams, and the potential for long-term capital appreciation. By including these stocks in your portfolio, you can generate substantial income and build wealth over time. As always, it's essential to conduct thorough research and consider your risk tolerance before making any investment decisions.