These 3 Dividend Stocks Yield Less Than 10-Year Treasuries Over 5%. Here's Why They Are Better Buys Anyway.
Treasuries pay more today, but these three healthcare dividend payers offer something Treasuries can't: growth in both the payout and the stock.
Overview
With 10-year Treasury yields above 5.2%, it's fair to ask why anyone would buy dividend stocks that pay half as much. But a Treasury pays the same fixed coupon until maturity, whereas a dividend can rise year after year. Plus, the stock itself could appreciate over the years.
That's why I'm looking at three dividend stocks that pay less than the 5.2% 10-year Treasury yield today, but are still quality investments trading well below their high target prices.
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Originally published at www.fool.com.
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