When building a passive income portfolio, it is important to focus on companies with reliable dividend payments rather than just high yields. For example, T. Rowe Price and Agree Realty are solid choices for investors looking for consistent dividends.
T. Rowe Price has a long history of increasing dividends for 39 consecutive years, showing its ability to weather market volatility. Additionally, the company has no long-term debt, providing stability for its dividend payouts. Investors can currently earn a 4.1% yield from T. Rowe Price.
Agree Realty, despite a dividend cut in 2011, has been steadily growing its dividends since 2013. With over 2,100 properties in its portfolio, the company offers a 4.8% yield and room for further growth.
On the other hand, Annaly Capital Management, a mortgage REIT, has seen its dividend decrease over the past decade. Despite a high yield of 13%, the company’s dividend history raises concerns for investors relying on income from their investments.
When choosing stocks for passive income, it is important to consider factors beyond just dividend yield. Companies like T. Rowe Price and Agree Realty offer reliable dividends and potential for growth, making them attractive options for investors seeking passive income.