7 high-yielding retirement stocks to buy for your nest egg

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  • These seven high-yield retirement stocks to buy are among the best choices for building a retirement portfolio that will provide stable income.
  • Amcor (CDMA): Is a world leader in the development and production of responsible packaging.
  • 3M Company (MMM): This conglomerate has a corporate history of 120 years.
  • AbbVie (ABBV): A global biopharmaceutical company with a broad spectrum of therapeutic areas.
  • Cardinal Health (HAC): An intentionally-operated, integrated healthcare services and products company.
  • Chevron (CLC): This energy giant has several major projects underway.
  • Exxon Mobil (XOM): Here is another global oil giant with a rich corporate history of 152 years.
  • International Business Machines (IBM): The iconic tech company is transforming the past, present and future of technology.

Credit: Dan Kosmayer/Shutterstock

Building a retirement portfolio is a challenge. You have to make up for lost income and it’s a process that takes time and dedication. However, it doesn’t have to be a complex decision, as the need for a low-risk, income-focused portfolio is obvious. Today I’m going to discuss seven high-yielding retirement stocks to buy to build your nest egg now.

These seven actions are dividend aristocratsa list of high-yielding stocks suitable for a retirement portfolio as they are among the “65 members of the S&P500 who have not only paid dividends for at least 25 consecutive years – they have increased their dividends for at least 25 consecutive years.”

All of these companies have strong balance sheets, well-established businesses, very attractive dividend yields, and can sustain economic and business cycles with capital appreciation. For simplicity, the following data refers to closing share prices on May 20, 2022.

Here are my top seven high-yield retirement stocks to buy for your nest egg:

Teleprinter Company Price
CDMA Amcor plc $13.20
MMM 3M Company $147.98
ABBV AbbVie Inc. $151.93
HAC Cardinal Health, Inc. $58.07
CLC Chevron Company $177.14
XOM ExxonMobil Corporation $97.15
IBM International Commercial Machinery Society $135.96

High Yield Retirement Stock: Amcor (AMCR)

Source: shutterstock.com/zedspider

  • Sector: Consumer Cyclicals
  • Industry: Packaging and containers
  • Dividend and forward yield: $0.48 (3.68%)

Amcor (NYSE:CDMA) is a producer and seller of packaging products in Europe, North America, Latin America, Africa and Asia-Pacific regions. The Company operates through two segments: flexible and rigid packaging. Amcor provides packaging solutions for many products, such as beverage, food, healthcare, home care, personal care and pet care.

This world leader in responsible packaging has approximately 46,000 employees, with commercial activities in more than 40 countries and a turnover of 13 billion dollars. Additionally, the company focuses on sustainability by manufacturing recyclable and reusable packaging.

Amcor has 39 years of dividend increase and a forward payout rate of 57.81%. The frequency of dividends is quarterly. The expected Earnings per share (EPS) growth over 3 to 5 years is 9.82%.

3M Company (MMM)

Source: Pavel Kapysh / Shutterstock.com

  • Sector: Industrial
  • Industry: Conglomerates
  • Dividend and forward yield: $5.96 (4.09%)

3M Company (NYSE:MMM) is a globally diversified technology company, operating in four segments: security and industrial, transportation and electronics, healthcare and consumer goods. The company was founded in 1902, giving it 120 years of business history. The list of products from the 3M company is endless, with 19,079 articles on its official website providing solutions for various industries, such as electronics, energy, manufacturing, automotive, communication and transportation.

The 3M company is 65 years of increasing dividends with a forward payout rate of 52.74% and a quarterly payout frequency. Expected EPS growth over 3 to 5 years for such a mature company is not negligible since it stands at 9.5%.

High Yield Retirement Stock: AbbVie (ABBV)

ABBV Share: Delivering Oil Yield Without Oil Risk

Source: Piotr Swat / Shutterstock.com

  • Sector: Health
  • Industry: Drug manufacturers — General
  • Dividend and forward yield: $5.64 (3.78%)

AbbVie (NYSE:ABBV), is a worldwide manufacturer and seller of pharmaceutical products. It has a wide range of products for immunology such as Humira and Skyrizi. In the field of neuroscience, it offers Botox, Celexa and Fetzima. Additionally, the company offers treatments for oncology, virology, eye care, aesthetics and other specialty areas.

The company invests in big data technology, precision medicine, genetics and genomics.

AbbVie has 50 years of dividend increases with a forward payout rate of 46.8% with a quarterly payout frequency. Expected EPS growth over 3 to 5 years is 2.54%.

Cardinal Health (CAH)

Cardinal Health (CAH) sign with bushes ahead

Source: Shutterstock

  • Sector: Health
  • Industry: Medical distribution
  • Dividend and forward yield: $1.98 (3.55%)

Cardinal Health (NYSE:HAC) is an integrated healthcare company providing services and products in the United States, Canada, Europe and Asia. It operates in two segments: Pharmaceutical and Medical.

The company provides services to a wide audience, including the home care sector, hospital pharmacy, community laboratory, health centers, independent retail pharmacy, ambulatory surgery center supplies and solutions, among others. . Some of its pharmaceutical products cover sectors such as biosimilars, influenza, nuclear medicine and specialty drugs.

Cardinal Health has 36 years of increasing dividends with a very healthy payout ratio of 35.77%. The frequency of dividends is quarterly. The business outlook is stable and this translates into expected EPS growth over 3 to 5 years of 1.62%.

High Yield Retirement Stock: Chevron (CVX)

Chevron (CVX) logo on gas station sign with

Source: various photographs / Shutterstock.com

  • Sector: Energy
  • Industry: Integrated Oil and Gas
  • Dividend and forward yield: 5.68 (3.29%)

Chevron (NYSE:CLC) is an integrated energy and chemicals company operating worldwide. The company operates in two segments: Upstream and Downstream. It was founded in 1879, 143 years ago.

The company has important projects, such as the Gorgon project, one of the largest natural gas projects in the world and very important to the Australian economy. It also operates the wheatstone projectone of Australia’s largest resource developments; the Jack Saint-Malo project in the Gulf of Mexico in the United States; the Big Foot project in the Gulf of Mexico in the United States; the Mafumeira Sul project in Angola; and Tth permian basin projectJust to name a few.

Chevron has 35 years of dividend increases and a forward payout rate of 38.95%. It pays a quarterly dividend. In addition, the company should have a EPS growth over 3 to 5 years of 11.55%.

Exxon Mobil (XOM)

Exxon Mobil Stock is on its way back, but it will take time

Source: Jonathan Weiss/Shutterstock.com

  • Sector: Energy
  • Industry: Integrated Oil and Gas
  • Dividend and forward yield: $3.52 (3.83%)

Exxon Mobil(NYSE:XOM) with Chevron, was in the best performing sector in 2022: the energy sector. When investing for the long term, such as building a diversified retirement portfolio, having stocks that have appreciated significantly provides additional investment opportunities. It’s not a bad idea to sell some stocks and make a profit while letting others continue to build wealth and recurring income.

Exxon Mobil explores for and produces crude oil and natural gas in the United States and internationally, operating through Upstream, Downstream and Chemical segments. It was founded in 1870, 152 years ago.

The company is committed to achieving net zero emissions from its operating assets by 2050. It has 38 years of dividend increases and a forward payout rate of 42.19%. The frequency of dividends is quarterly.

Expected 3-5 year EPS growth of 20.41% is very highsignaling strong business prospects.

High Yield Retirement Stock: International Business Machines (IBM)

Photo of the IBM (IBM) building seen through the canopy of a tree.  The IBM logo is in large letters on the side of the building.

Source: shutterstock.com/LCV

  • Sector: Technology
  • Industry: Information technology services
  • Dividend and forward yield: $6.60 (5.14%)

International Business Machinery (NYSE:IBM) is a provider of integrated solutions and services worldwide and operates through four business segments: software, consulting, infrastructure and financing. The company was founded in 1911, which gives them 111 years of business activity.

The technology company provides many tools for businesses, such as hybrid cloud, public cloud, blockchain, IBM Watson, security, data and analytics, and quantum computing, among others. Some of the services provided by IBM offer solutions for various industries, including financial services, consumer goods, energy, retail and telecommunications.

The dividend has increased for 28 yearsand the company has a high forward payout ratio of 62.49%.

The frequency of quarterly dividends is ideal, like all the other high-yielding retirement stocks to buy on this list. In addition, expected EPS growth over 3 to 5 years of 9.02% is strong for such a large and mature technology company.

As of the date of publication, Stavros Georgiadis, CFA does not hold (neither directly nor indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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