The 3 Most Reliable Dividend Stocks for Retirees

Stocks to buy

Baby boomers started turning 65 in 2011. Today, 10,000 Boomers are turning 65 every day between now and 2030, according to a Georgetown University study.In 2000, there were 35 million Americans age 65 and older. This number grew to 49.2 million in 2016, accounting for 15.2 percent of the population. By 2030, this number will grow to 74 million, according to an analysis of U.S. Census data by the Urban Institute.” Unfortunately for many of those Boomers, they saw their retirement accounts dwindle in 2022 thanks to inflation, fears of recession, interest rate hike fears, and war. To recoup lost retirement savings, many Boomers are looking into reliable dividend stocks for retirees.

Ticker Company Price
MPW Medical Properties Trust $12.54
WPC WP Carey $82.59
ENB Enbridge $38.08

Medical Properties Trust (MPW)

Source: Shutterstock

At the top of the list of reliable dividend stocks for retirees is Medical Properties Trust (NYSE:MPW). With a yield of 8.95%, Medical Properties Trust is one of the world’s largest owners of hospital real estate with 447 facilities and 44,000 beds in ten countries. Even better, it’s a solid defensive investment against market declines. After all, the demand for health care is based more on the needs of millions of patients.

Plus, we have to consider that healthcare spending is expected to top $6.1 trillion by 2028, according to the Centers for Medicare & Medicaid Services (CMS) and Statista. Even better, MPW just declared a quarterly cash dividend of $0.29 per share of common stock to be paid on April 13, 2023, to stockholders of record on March 16, 2023.

WP Carey (WPC)

Source: Vitalii Vodolazskyi / Shutterstock

With a yield of 5.08%, WP Carey (NYSE:WPC) is a net lease real estate investment trust that buys properties directly from companies and then leases them back to an oftentimes reliable tenant. It’s also called a lease-back. Or where “a company sells its real estate to an investor like WP Carey for cash and simultaneously enters into a long-term lease.”

Even better, its rental agreements include contractual rent increases for inflation, according to BNK Invest. In fact, about 60% of the agreements are tied to the consumer price index. Better, earnings have been solid. For the full-year 2022, the company’s revenues were up 15% year over year to $1.48 billion. Funds from operations (FFO) were up 23% year over year to $1.11 billion. FFO margins jumped to 75% from 70%.

Enbridge (ENB)

Source: JHVEPhoto / Shutterstock.com

With a yield of 6.84%, Canadian pipeline and utility giant Enbridge (NYSE:ENB) is another one of the most reliable dividend stocks for retirees. Better, the company has paid out dividends for more than 67 years. Not only is that dividend safe and reliable, but Enbridge also continues to generate stable cash flow through long-term contracts with financially stable customers.

We also have to consider that Enbridge’s vast network of pipelines is crucial to North America. The company moves 30% of the crude oil produced in the continent and transports 20% of the natural gas consumed in the United States. It also operates North America’s third-largest natural gas utility by consumer count.

On the date of publication, Ian Cooper did not have (either directly or indirectly) any positions in the securities mentioned. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Ian Cooper, a contributor to InvestorPlace.com, has been analyzing stocks and options for web-based advisories since 1999.

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