Coca-Cola (NYSE: KO) pays investors a reliable dividend that yields about 3% per year. That’s better than the 1.6% yield you can expect from the average S&P 500 stock. However, income investors can secure an even higher payout without taking on much more risk.
Three stocks that pay better than Coca-Cola does and that are relatively safe buys are Bristol Myers Squibb (NYSE: BMY), Royal Bank of Canada (NYSE: RY), and Verizon Communications (NYSE: VZ). They’ve all been doing well despite the COVID-19 pandemic. Here’s a closer look at their recent results and why income investors don’t need to worry about the sustainability of their payouts.