We believe dividend-paying companies with stable fundamentals are prominent bets now considering the market’s high volatility. So, established dividend stocks AT&T Inc. (T), Vale S.A (VALE), and GlaxoSmithKline (NYSE:GSK), which currently yield more than 5%, are worth considering now given their stable financials and cash flows. Read on.Dividend stocks are popular among investors that are seeking a steady stream of income. The continuing near-zero interest rate environment and declining Treasury yields have made the backdrop favorable for dividend investing over the past three months.
While the surging reflation trade and solid economic performance shifted investors’ focus to growth and outdoor stocks earlier this year, current market volatility has been helping dividend stocks make a strong comeback. The CBOE Volatility Index has gained 18.8% over the past month and 5% over the past five days.
Dividends paid by AT&T Inc. (T), Vale S.A. ADR (VALE), and GlaxoSmithKline plc (GSK) yield more than 5%, and these stocks possess stable financials and cash flows. So, we think they are worth buying now.