PepsiCo Loses to 30-year U.S. Treasury Bonds on Yield. Here's Why It Wins on Everything Else.
Owning PepsiCo stock is likely worth a slightly higher risk for most investors.
Overview
In an environment of rising interest rates, dividend payers have had more trouble competing for income investors' attention. The 30-year Treasury bond now offers a yield of around 5.25%, a level matched by few dividend stocks.
That includes PepsiCo (NASDAQ: PEP), whose dividend yield is around 4.1%. Fortunately, the stock offers other benefits that could make buying PepsiCo for its dividend a more attractive option than a 30-year Treasury over the long term. Here's how.
Image source; The Motley Fool.
Details
Source
Originally published at www.fool.com.
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