2 High-Yield Dividend Stocks to Buy Now
2026-07-28 10:15
•John Ballard •The Motley Fool
•••••• •• Axe Capital view
High-Yield Dividend Plays Worth Watching from Abroad
Two US dividend stalwarts offer lessons for South African income investors.
PepsiCo and Hasbro showcase how dependable dividends can bolster total returns, especially in uncertain times. PepsiCo’s 4.3% yield and 54-year dividend growth run are impressive, backed by steady revenue gains and disciplined cost control. Hasbro, by contrast, is smaller but growing fast, driven by hot brands like Magic: The Gathering—its 32% revenue jump highlights niche strength. Neither is listed on the JSE, but their steady income profile is a reminder for South African investors: high-yield counters like Standard Bank or MTN can provide similar ballast amid rand volatility. But caution is warranted; currency swings in USD/ZAR can distort returns for local holders, especially if the dollar strengthens further. If US consumer demand slows, these dividend streams might falter. For local income seekers, mimic the quality and yield discipline in our banks or telecoms, rather than chasing US names directly. this is just my opinion and not financial advice
I’d buy good-yield local banks like Standard Bank or FirstRand to capture solid dividends while watching USD/ZAR closely. Avoid swapping rand for US high yields without hedging, as currency risk can undermine gains.
- Standard Bank
- FirstRand
- USD/ZAR
- US consumer slowdown hits dividends
- Rand weakness erodes dollar payouts
6/10
PepsiCo and Hasbro are highlighted as attractive high-yield dividend stocks. PepsiCo offers a 4.3% dividend yield with 54 consecutive years of dividend growth and posted 7% year-over-year revenue increase. Hasbro provides a 3.2% yield with strong earnings growth and resilient brands like Magic: The Gathering showing 32% revenue growth.
This article was originally published by The Motley Fool and has been adapted here for Axe Capital Trading News.
Publisher: The Motley Fool
Author: John Ballard
Categories: Rates, Equities, Earnings, Capital Returns, Consumer, Retail
Tickers: PEP, HAS
Sentiment: Positive - Strong 4.3% dividend yield with 54-year consecutive dividend growth streak, 7% YoY revenue growth, solid payout ratio of 75%, and successful execution of cost-saving initiatives despite macroeconomic headwinds. Attractive 3.2% dividend yield, stock up 38% over three years, adjusted EPS improved significantly from $2.51 (2023) to $5.94 (trailing-12-month), strong brand performance with Magic: The Gathering up 32% YoY, and potential for dividend growth resumption.
Keywords: dividend stocks, high-yield dividends, consumer goods, PepsiCo, Hasbro, dividend growth, earnings growth
Insights:
- PEP: Positive: Strong 4.3% dividend yield with 54-year consecutive dividend growth streak, 7% YoY revenue growth, solid payout ratio of 75%, and successful execution of cost-saving initiatives despite macroeconomic headwinds.
- HAS: Positive: Attractive 3.2% dividend yield, stock up 38% over three years, adjusted EPS improved significantly from $2.51 (2023) to $5.94 (trailing-12-month), strong brand performance with Magic: The Gathering up 32% YoY, and potential for dividend growth resumption.