In an environment where the benchmark S&P 500's average dividend yield hovers near historic lows, dividend stocks with higher payouts are drawing renewed attention from both income-oriented and total-return investors.
While a big dividend yield can sometimes be a red flag, some companies back those payouts with strong cash flow and durable businesses, making these five names appealing options for investors looking to improve their financial fitness this month.
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Realty Income
Realty Income has built a reputation for reliability. Known as "The Monthly Dividend Company," this real estate investment trust (REIT) invests in free-standing, single-tenant commercial properties across the U.S. and several European markets.
Unlike most companies that pay quarterly, Realty Income distributes income monthly, with a dividend yield of over 5%, which can be particularly attractive for investors seeking regular cash flow.
Investors are drawn to Realty Income not just for its yield, but for its long history of dividend consistency. The company's diversified tenant base, spanning retail, industrial, and service sectors, helps stabilize income even when certain industries slow. That broad diversification, coupled with a yield well above the S&P 500 average, has put Realty Income on many watchlists this February.
Over the past year, Realty Income shares are up roughly 11%, adding price appreciation to its income appeal. The company has also paid 667 consecutive monthly dividends, underscoring its reputation for consistency and reliability among income-focused investors.
It's worth mentioning that REIT dividends are dependent on property occupancy and rental rates, so economic slowdowns or rising interest rates can pressure payouts. Still, Realty Income's strong balance sheet and monthly distributions make it a go-to for income-focused investors.
Chevron
Energy stocks often have higher dividend yields thanks to strong cash flow from oil and gas operations. Chevron has turned heads recently after boosting its quarterly dividend by 4%, even as it grew production and posted better-than-expected earnings.
Chevron stock is up more than 11% in 2026, with that combination of yield and financial strength keeping it on the radar for investors seeking both income and stability.
Chevron's diversified portfolio, spanning the U.S., Kazakhstan, Guyana, and more, gives it flexibility across global energy markets. What's more, its recent results suggest the company is navigating today's macroeconomic environment better than some peers.
Nevertheless, energy dividends can be sensitive to commodity price swings, so investors should weigh Chevron's yield against volatility in oil markets and geopolitical risk, but for those comfortable with cyclical sectors, Chevron's payout remains compelling.
AT&T
Telecommunications providers often appeal to dividend investors because of their steady cash flow and market scale. AT&T reported its Q4 2025 results with solid subscriber growth across its fiber and wireless segments, supporting a nearly 4.8% dividend yield.
AT&T's business model combines recurring revenue from subscriptions with expanding broadband infrastructure, which can help sustain dividends over time. Recent capital return plans, including buybacks through 2028, further underline the company's commitment to returning cash to shareholders.
Telecom is a competitive space, and AT&T's debt levels and capital expenditure requirements can be heavy. But for investors seeking stable income outside of utilities or REITs, AT&T's yield, 8% return over the past year, and subscriber growth story make it a strong contender this month.
LXP Industrial Trust
LXP Industrial Trust isn't as widely known as some larger REITs, but it's been gaining traction among dividend investors thanks to a robust yield of over 5.5% and exposure to industrial property markets.
With over 100 facilities across major U.S. growth corridors and diversified tenants, including logistics and manufacturing firms, LXP's high occupancy and rent escalations help support its distribution.
That combination of yield and industrial demand, especially from e-commerce landlords, has made LXP a favorite for investors seeking income with potential capital appreciation in industrial real estate.
Investors should consider that industrial REITs can be cyclical and tied to broader economic activity. But LXP's tenant mix and occupancy metrics help cushion the payout against downturns in specific sectors.
Pfizer
Another high-yield name investors are eyeing this month is Pfizer, one of the world's largest drugmakers. Pfizer currently offers a dividend yield north of 6.4%, significantly higher than the average blue-chip payout and firmly placing it among the most income-oriented stocks in the S&P 500. Its board recently declared a quarterly dividend of $0.43 per share, continuing a payout history that stretches back decades.
The appeal for income investors is clear: at today's prices, Pfizer's steady dividend provides an annualized yield that many traditional income plays can't match. That yield has been boosted in part by Pfizer's relatively low valuation, which can make the income component especially attractive.
There are, however, important considerations. Pfizer's elevated payout ratio means a large share of earnings is returned to shareholders, and the company faces pipeline and patent-related challenges that could affect long-term earnings and dividend sustainability.
Still, for investors focused on current income and willing to tolerate some risk, Pfizer's rich yield and global pharmaceutical footprint make it a compelling addition to a high-yield watchlist this February.
Bottom line
For income-oriented portfolios built to weather market shifts while delivering steady returns, these five high-yield stocks are worth a closer look to supplement your income.
But just remember, yield alone isn't a reason to invest. Stocks with yields significantly above the market average may be signaling higher risk or dividend instability. Sustainable payouts, strong balance sheets, and clear business prospects should all factor into your decisions.
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