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2 'Strong Buy' Dividend Stocks Paying 6%+ Yields to Buy for 2025High-yield dividend stocks are an excellent way to generate steady passive income. And as 2025 approaches, these stocks look more promising than ever. This is because inflation is easing and the stock market is adapting to a lower-interest-rate environment. Among the top dividend-paying stocks, Enterprise Products Partners (EPD) and CTO Realty Growth (CTO) stand out for their consistent dividend payment histories and high yields, exceeding 6%. These companies have rewarded shareholders with regular and higher payouts. Moreover, these dividend companies have consensus “Strong Buy” ratings from analysts, indicating good prospects for dividend growth and stability. Let’s examine these two dividend stocks and understand why they could enhance your income portfolio in 2025. Dividend Stock #1: Enterprise Products PartnersEnterprise Products Partners (EPD) is a leading energy infrastructure company. It offers midstream services critical to the transportation, storage, and processing of natural gas (NGF25), natural gas liquids, crude oil (CBG25), petrochemicals, and refined products. Its business is supported by long-term, fee-based contracts, which provide a steady revenue stream that shields the company from the volatility of commodity prices. This stability makes EPD a dependable choice for income-focused investors. EPD's ability to generate consistent cash flows supports its robust dividend payments. The energy infrastructure company has increased its dividends for 27 consecutive years. EPD’s strong financials and strategic initiatives position it well to sustain and grow its dividend. EPD is on track to expand its operations, with two new processing plants in the Permian Basin set to be completed soon and another plant in the Delaware Basin slated to come online by 2026. These projects are poised to strengthen EPD’s NGL value chain while contributing new and sustainable cash flow sources. Further, the company’s solid balance sheet positions it to seize growth opportunities and deliver increased shareholder returns. In the most recent quarter, EPD generated $2 billion in distributable cash flow. Wall Street analysts have taken a bullish stance on EPD, reflecting confidence in the company’s ability to deliver stable payouts and achieve sustained growth. Moreover, Enterprise Products Partners offers an attractive yield of 6.5% near the current market price. Dividend Stock #2: CTO Realty GrowthCTO Realty Growth (CTO) is a solid stock for investors seeking high yield and steady income. Its strategic focus on high-traffic properties, diversified revenue streams, and strong operating performance drive its payouts and make it a reliable income stock. This real estate investment trust (REIT) focuses on retail properties located in some of the fastest-growing markets across the U.S. Plus, its properties are designed as multi-tenant hubs. This setup drives consistent foot traffic and ensures a stable tenant mix, reducing the risk of income dips during economic slowdowns. In addition to its core retail properties, CTO Realty has invested in Alpine Income Property Trust (PINE), which diversified its income. CTO’s properties have a high occupancy rate, highlighting strong demand. The company ended the third quarter with leased occupancy of 95.8%, reflecting an increase of 120 basis points from the previous quarter.
Wall Street analysts are bullish about CTO Realty’s prospects and maintain a “Strong Buy” consensus rating. It offers a high yield of over 7.5%. On the date of publication, Amit Singh did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here. |
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