Boomers Should Buy These High-Yield Dividend August Bargains Hand-Over-Fist

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By Lee Jackson Published

Quick Read

  • Five Buy-rated dividend stocks yielding 5% to 7% have dipped on earnings misses or weak guidance, creating compelling entry points for income investors.

  • Altria (MO) and Comcast (CMCSA) yield over 5% each, have pulled back sharply, yet carry Buy ratings from UBS and Rosenblatt, respectively.

  • Pfizer (PFE) leads the group with a nearly 7% yield, gaining recovery momentum from non-COVID blockbuster drugs and a potential GLP-1 product launch.

  • The Motley Fool told its subscribers to buy Amazon in 2002, Netflix in 2004, and Nvidia in 2005. Stock Advisor still publishes two new stock picks every month — and over 23 years, has more than quadrupled the S&P 500. Click here to receive the next recommendation.

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Boomers Should Buy These High-Yield Dividend August Bargains Hand-Over-Fist

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Investors love dividend stocks because they provide dependable passive income streams and an excellent opportunity for solid total return. Total return includes interest, capital gains, dividends, and distributions realized over time. In other words, the total return on an investment or portfolio consists of income and stock appreciation. At 24/7 Wall St., we have focused on dividend stocks for over 15 years because, despite the stock market’s ups and downs, many people need reliable passive income streams to supplement their income from employment or other sources such as Social Security and pensions.

With second-quarter earnings coming to an end, we decided to survey the high-yield dividend stock landscape, looking for companies that either missed earnings slightly or provided forward guidance that fell short of expectations. One thing is for sure: it’s starting to look like interest rates could rise as early as September, so grabbing quality stocks that have dipped for one reason or another now makes sense. All five have a Buy rating from the top Wall Street firms we cover.

Why do we cover high-yield dividend stocks?

High-Yield dividend stocks offer investors a reliable source of passive income. Passive income is characterized by its ability to generate revenue without requiring the earner’s continuous active effort, making it a desirable financial strategy for those seeking to diversify their income streams or achieve financial independence.

Altria

Altria (NYSE: MO | MO Price Prediction) is one of the world’s largest producers and marketers of cigarettes and other tobacco-related products. This tobacco stock offers value investors a solid entry point and a 6.24% dividend. Altria manufactures and sells smokable and oral tobacco products in the United States primarily to wholesalers, including distributors and large retail organizations, such as chain stores.

The shares dropped sharply after the company’s Q2 2026 earnings report on July 30, largely due to a narrow but meaningful earnings miss. Adjusted EPS came in at $1.48 versus the $1.50 to $1.54 analysts expected, even though revenue slightly beat forecasts. Altria had actually rallied about 30% year-to-date heading into the report, so much of the drop was profit-taking due to a rich valuation. At current levels, it’s a solid stock to add.

The company primarily sells cigarettes under the Marlboro brand, as well as:

  • Cigars and pipe tobacco, principally under the Black & Mild and Middleton brands
  • Moist smokeless tobacco and snus products under the Copenhagen, Skoal, Red Seal, and Husky brands
  • on! Oral nicotine pouches
  • e-vapor products under the NJOY ACE brand

Altria used to own over 10% of Anheuser-Busch InBev (NYSE: BUD), the world’s largest brewer. In March of 2024, the company sold 35 million of its 197 million shares through a global secondary offering. That represents 18% of its holdings but still leaves 8% of the outstanding shares in its back pocket. Altria also announced a $2.4 billion stock repurchase plan partially funded by the sale.

Altria increased its quarterly dividend in the fall of 2025 by 3.9%, from $1.02 to $1.06 per share, marking its 57th consecutive dividend increase.

UBS has a Buy rating with a $79 target price.

Comcast

Comcast Corporation is an American multinational telecommunications and media conglomerate that recently announced a merger with Cox Communications. Comcast Corporation (NYSE: CMCSA) is a global media and technology company. The company pays a well supported 5.58% dividend. 

Comcast beat Q1 2026 earnings and still fell 13%, and shares hit 52-week lows even after beating estimates again in Q2, driven lower by broadband subscriber losses and fear of competition from fiber and Starlink. Broadband average revenue per user fell 3.1% year over year, with more pressure expected, and the stock is down over 25% from its highs. Solid free cash flow of $4.6 billion in the second quarter and a strong share repurchase program are positive for investors willing to be patient with this entertainment giant. In addition, the company announced that it will spin off NBCUniversal and Sky in a tax-free transaction over the next year.

It operates through four segments:

  • Residential Connectivity & Platforms
  • Business Services Connectivity
  • Media, Studios
  • Theme Parks segments

The Residential Connectivity & Platforms segment provides residential broadband and wireless connectivity services, residential and business video services, sky-branded entertainment television networks, and advertising.

The Business Services Connectivity segment offers connectivity services for small business locations, including broadband, wireline voice, and wireless. It also provides solutions for medium-sized customers, larger enterprises, and small business connectivity services in the United Kingdom.

The Media segment operates NBCUniversal’s television and streaming business, including:

  • National and regional cable networks
  • The NBC and Telemundo broadcast networks
  • Owned local broadcast television stations
  • Peacock, a direct-to-consumer streaming service

It also operates international television networks, including Sky Sports, as well as other digital properties.

The Studios segment operates NBCUniversal and Sky film and television studio production and distribution operations.

The Theme Parks segment operates Universal theme parks in:

  • Orlando, Florida
  • Hollywood, California
  • Osaka, Japan
  • Beijing, China

Rosenblatt has a Buy rating and a $31 target price.

Pfizer

Pfizer (NYSE: PFE) was established in 1849 in New York by two German entrepreneurs. This top pharmaceutical stock was a major winner in the COVID-19 vaccine race, but has declined significantly as booster uptake has slowed dramatically over the years. However, Pfizer’s recovery story is gaining traction, with blockbuster non-COVID drugs delivering strong growth and a potential GLP-1 product launch on the horizon. It pays a dependable 6.77% dividend, which has increased annually for the past 16 years, but that may be the end of the streak.

Pfizer has kept its quarterly dividend unchanged at $0.43 for four consecutive quarters. Even as revenue grew, the stock has drifted toward its 52-week low amid shrinking operating income and margins, with initial 2026 guidance coming in below Street estimates. However, CNBC reported that the company posted Q2 2026 adjusted earnings of 77 cents per share on $15.03 billion in revenue, beating Wall Street estimates of 68 cents per share and $14.41 billion in revenue. The company also raised the low end of its full-year revenue guidance.

Pfizer discovers, develops, manufactures, markets, distributes, and sells biopharmaceutical products worldwide in various therapeutic areas, including:

  • Cardiovascular, metabolic, and women’s health under the Premarin family and Eliquis brands
  • Biologics, small molecules, immunotherapies, and biosimilars under the Ibrance, Xtandi, Sutent, Inlyta, Retacrit, Lorbrena, and Braftovi brands
  • Sterile injectable and anti-infective medicines and oral COVID-19 treatment under the Sulperazon, Medrol, Zavicefta, Zithromax, Vfend, Panzyga, and Paxlovid brands

Pfizer also provides medicines and vaccines in other therapeutic areas, such as:

  • Pneumococcal disease, meningococcal disease, and tick-borne encephalitis
  • COVID-19 under the Comirnaty/BNT162b2, Nimenrix, FSME/IMMUN-TicoVac, Trumenba, and the Prevnar family brands
  • Biosimilars for chronic immune and inflammatory diseases under the Xeljanz, Enbrel, Inflectra, Eucrisa/Staquis, and Cibinqo brands
  • Amyloidosis, hemophilia, and endocrine diseases under the Vyndaqel/Vyndamax, BeneFIX, and Genotropin brands

Guggenheim has a Buy rating and a $35 target price.

United Parcel Service

The delivery giant announced last year that it would cut its shipping volume for e-commerce giant Amazon.com (NASDAQ: AMZN) by more than 50% by the second half of 2026, and it is one of the best ideas among the top dividend picks, with a dividend yield now at 6.29%. The package delivery company faced headwinds from discontinuing its Amazon business and expectations of slower economic growth. The company said the move is part of UPS’s broader strategy to focus on more profitable, less risky business segments. United Parcel Service (NYSE: UPS) provides a range of integrated logistics solutions for customers in more than 200 countries and territories. 

The company sold off big after the Amazon announcement in 2025, but has since recovered. For the first time since its 1999 listing, the company did not raise the dividend this year, holding it flat, but the CEO has said on numerous occasions that the company will not lower the dividend from current levels.

Its segments include:

  • U.S. Domestic Package
  • International Package.

The U.S. Domestic Package segment offers a range of domestic air and ground package transportation services within the United States. Its air portfolio offers time-definite, same-day, next-day, two-day, and three-day delivery alternatives as well as air cargo services.

UPS’s ground network enables customers to ship using its day-definite ground service. UPS SurePost provides residential ground service for customers with non-urgent, lightweight residential shipments.

The International Package segment comprises its small package operations in Europe, the Indian subcontinent, the Middle East and Africa, Canada, Latin America, and Asia. It offers a selection of guaranteed day- and time-definite international shipping services. Its supply chain solutions consist of forwarding, logistics, and other businesses.

UBS has a Buy rating with a $124 target price objective.

 

 

Contact [email protected] for any questions or corrections.

Photo of Lee Jackson
About the Author Lee Jackson →

Lee Jackson has covered Wall Street analysts' equity and debt research and equity strategy daily for 24/7 Wall St. since 2012. His broad and diverse career, which included a stint as the creative services director at the NBC affiliate in Austin, Texas, gives him unique insight into the financial industry and world.

Lee Jackson's journey in the financial industry spans over 30 years, with nearly two decades as an institutional equity salesperson at Bear Stearns, Lehman Brothers, and Morgan Stanley. His career was marked by his presence on the sell side during pivotal Wall Street events, from the dot.com rise and bubble to the Long Term Capital Management debacle, 9/11, and the Great Recession of 2008. This is a testament to his resilience and adaptability in the face of market volatility.

Lee Jackson’s practical financial industry experience, acquired from a career at some of the biggest banks and brokerage firms, is complemented by a lifetime of writing on various platforms. This unique combination allows him to shed light on the intricacies and workings of Wall Street in a way that only someone with deep insider experience and knowledge can. Moreover, his extensive network across Wall Street continues to provide direct access for him and 24/7 Wall St., a privilege few firms enjoy.

Since 2012, Jackson’s work for 24/7 Wall St. has been featured in Barron’s, Yahoo Finance, MarketWatch, Business Insider, TradingView, Real Money, The Street, Seeking Alpha, Benzinga, and other media outlets. He attended the prestigious Cranbrook Schools in Bloomfield Hills, Michigan, and has a degree in broadcasting from the Specs Howard School of Media Arts.

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