Should You Buy the 3 Highest-Paying Dividend Stocks in the Dow Jones?

Just because a stock offers a high yield does not mean it is a good investment. You need to understand the business that backs the yield. And, perhaps even more importantly, ensure that the investment aligns with your needs and portfolio. So, don't just hit the buy button as you look at the highest-yielding stocks in the Dow Jones Industrial Average; get to know them a little.To get you started, here's a quick primer on Verizon Communications (NYSE: VZ) and its 6.8% yield, Chevron (NYSE: CVX) and its 4.6% yield, and Merck (NYSE: MRK) and its 3.4% yield.At its core, Verizon's telecom business produces annuity-like income streams. That's because customers tend to choose a provider and then stick with it for years. That's good news and could make the stock an attractive investment choice for more conservative investors. However, the lofty 6.8% hints at some potential risks.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool