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Top 10 High-Yield Dividend Stocks to Watch — December 2025

Seeking Alpha • • 2 min read • Intermediate
Stocks Market Analysis Income Investing Energy Real Estate #dividend-stocks #high-yield #income-investing #blue-chip #REITs #telecom #energy #dividend-growth
Income-focused investors often turn to high-yield dividend stocks to boost portfolio cash flow. As we enter December 2025, evaluating yield alone is insufficient: financial stability, payout sustainability, sector exposure and valuation all matter. Below are ten widely followed, high-yield candidates across sectors, with concise rationale and key risks. Use this as a starting point for further due diligence rather than a definitive buy list.

1) AT&T (T) — A historically high-yield telecom with strong free cash flow potential if debt trends improve. Watch capital allocation and 5G-related capex.

2) Verizon Communications (VZ) — Another major telecom that can offer elevated yield; monitor subscriber trends and network investment cycles.

3) Exxon Mobil (XOM) — Integrated energy major that combines cash flow from operations with a shareholder-friendly dividend policy. Commodity cycles can cause volatility.

4) Chevron (CVX) — Balanced cash returns and upstream exposure; attractive for investors preferring diversified energy exposure, but sensitive to oil price swings.

5) AbbVie (ABBV) — Biopharma with a history of generous payouts; pipeline and patent cliffs are the primary operational risks to dividend sustainability.

6) Altria Group (MO) — High yield from a leading tobacco company; regulatory, litigation and demand-shift risks persist and should be factored into income projections.

7) Philip Morris International (PM) — Offers exposure to international tobacco markets and notable yield; currency and regulatory dynamics matter.

8) International Business Machines (IBM) — Transitioning legacy software and services business with yield potential; execution on high-margin cloud initiatives is critical.

9) Realty Income (O) — A listed REIT known for monthly dividends and a diversified tenant base; interest-rate sensitivity and property fundamentals are key considerations.

10) VICI Properties (VICI) — A gaming-focused REIT with attractive yields tied to travel and leisure recovery; concentration risk in gaming and entertainment must be assessed.

Before acting, confirm current yields, payout ratios, recent earnings, and debt metrics. Diversify across sectors to manage idiosyncratic risk and consider tax implications of dividend income. Consult a financial advisor for personalized allocation decisions.