Three High-Yield Stocks Resisting Market Downturns Today
When you see the major market indexes slide lower, it might seem like every stock is declining. While many stocks have indeed dropped year to date, notable exceptions exist. Income investors, in particular, should find these outliers appealing. Here are three high-yield stocks currently defying the market slump, which you can consider buying.
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1. Enbridge
Shares of Calgary-based energy company Enbridge (NYSE: ENB) have risen approximately 6% year to date, even as the S&P 500 has transitioned into a correction. This performance is remarkable, especially considering the tariffs imposed on energy products imported from Canada to the U.S. during the Trump administration.
Enbridge boasts an extensive network of pipelines to transport oil, natural gas, and natural gas liquids across Canada and the U.S. Additionally, it operates the largest gas utility in North America, serving roughly 7 million customers in states like Ohio, North Carolina, and Utah. The company is also involved in renewable energy, with wind, solar, and geothermal power generation facilities across North America.
The forward dividend yield stands at 5.91%, making Enbridge attractive to income investors. Notably, it has increased its dividend for 30 consecutive years, reflecting its strong commitment to shareholder returns. Furthermore, Enbridge’s growth outlook is robust, with approximately $50 billion in growth opportunities projected through 2030, particularly within its gas transmission business.
2. Realty Income
Typically, one might expect real estate investment trusts (REITs) to react negatively to uncertainty in interest rates, but Realty Income (NYSE: O) is a standout. This leading REIT has seen its shares rise almost 9% year to date.
A significant part of Realty Income’s attractiveness is its diverse tenant base. The company owns over 15,600 properties across the U.S., U.K., and six European countries, leasing these to 1,565 clients in 89 industries. Prominent tenants include 7-Eleven, Chick-fil-A, Dollar General, FedEx, Lowe’s, and Walmart.
Stability is another key feature of Realty Income, with approximately 91% of its total rent being resilient to economic downturns. Remarkably, the REIT has never delivered a negative operational return.
Realty Income’s forward dividend yield is currently 5.56%, emphasizing its identity as “The Monthly Dividend Company.” The firm has raised its dividend for 30 consecutive years, averaging an annual growth rate of 4.3%.
3. Verizon Communications
Verizon Communications (NYSE: VZ) also stands out as a high-yield stock, contrasting with the broader market’s declines. The telecommunications leader’s shares are up around 7% year to date, surpassing the total gain experienced in 2024.
A major factor contributing to Verizon’s strong performance is its thriving business. The company added nearly 1 million postpaid mobile and broadband subscribers in the fourth quarter of 2024, its best quarterly performance in over a decade. Additionally, Verizon generated $20 billion in wireless service revenue during this period, leading the industry.
While some might not associate Verizon with artificial intelligence, the company is evolving in this space. It is collaborating with Nvidia to integrate GPU-based edge platforms into its 5G private networks. Moreover, Verizon is partnering with Alphabet’s Google Cloud to deploy advanced AI technologies for network maintenance and anomaly detection. Also, major AI companies like Google and Meta Platforms have acquired excess network capacity from Verizon for their AI operations.
Like the aforementioned stocks, Verizon is a favorite for income investors, offering a forward dividend yield surpassing 6.3%. The company has raised its dividend for 18 consecutive years, reinforcing its appeal.
Should You Invest $1,000 in Enbridge Right Now?
Before you consider investing in Enbridge, it’s important to weigh your options:
The Motley Fool Stock Advisor analyst team has identified what they believe to be the 10 best stocks for investors today, and Enbridge is not included in this selection. The stocks that did make the list have significant potential for returns in the near future.
For context, consider when Netflix was recommended on December 17, 2004… had you invested $1,000 then, it would now be worth $532,771!* or examine Nvidia when it was added on April 15, 2005… a $1,000 investment at that time would have grown to $593,970!*
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*Stock Advisor returns as of April 21, 2025
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, former director of market development for Facebook, and sister to Meta Platforms CEO Mark Zuckerberg, also serves on the board. Keith Speights holds positions in Alphabet, Enbridge, Lowe’s Companies, Meta Platforms, Realty Income, and Verizon Communications. The Motley Fool has recommendations for Alphabet, Enbridge, FedEx, Meta Platforms, Nvidia, Realty Income, and Walmart, as well as recommendations for Lowe’s Companies and Verizon Communications. The Motley Fool’s disclosure policy is available for review.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
