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Defensive investors like high dividend yielding stocks and consider them as viable options especially in inflationary environments. Additionally, they also select companies that can afford to pay consistently high dividends in order to achieve sustainable profits. We are concerned about the Fed’s inflationary monetary policy and therefore we recommend the investors to play defensively by purchasing high quality dividend stocks.

Below we compiled a list of high dividend stocks that can afford to double dividend payments. All companies have at least $20 billion market cap, dividend yield higher than 3% and payout ratio lower than 40%. The market data is sourced from Finviz.

Ticker

Company

Dividend Yield

YTD Return

MSFT

Microsoft Corporation

3.16%

-7.48%

CVX

Chevron Corp.

3.41%

2.60%

JPM

JPMorgan Chase

3.30%

-27.12%

INTC

Intel Corporation

3.96%

3.56%

COP

ConocoPhillips

4.24%

-6.08%

MMM

3M Co.

3.06%

-14.99%

MDT

Medtronic, Inc.

3.02%

-11.75%

TWX

Time Warner Inc.

3.13%

-4.63%

FCX

Freeport-McMoRan

3.11%

-45.76%

DOW

Dow Chemical

4.39%

-31.80%

BLK

BlackRock, Inc.

3.74%

-21.03%

PNC

PNC Financial Services

3.00%

-22.25%

LMT

Lockheed Martin

5.50%

7.08%

CCL

Carnival Corp

3.26%

-32.18%

GD

General Dynamics

3.29%

-18.00%

ITW

Illinois Tool Works

3.44%

-20.00%

TRV

The Travelers Companies

3.41%

-11.83%

Microsoft Corporation (NASDAQ:MSFT): Microsoft Corporation is engaged in developing, licensing and supporting a range of software products and services. MSFT has a dividend yield of 3.16% and lost 7.48% since the beginning of this year. It has a market cap of $212B and a P/E ratio of 9.39. Boykin Curry, Jean-Marie Eveillard, Ken Fisher and David Einhorn all have about $400 million to $500 million of MSFT shares.

Chevron Corp. (NYSE:CVX): Chevron is engaged in petroleum operations, chemicals operations, mining operations, power generation and energy services. CVX has a dividend yield of 3.41% and returned 2.60% since the beginning of this year. It has a market cap of $183B and a P/E ratio of 7.99. Bill Miller and Cliff Asness also had over $100 million of CVX stocks.

JPMorgan Chase & Co. (NYSE:JPM): JPMorgan Chase is a financial holding company. JPM has a dividend yield of 3.30% and lost 27.12% since the beginning of this year. It has a market cap of $118B and a P/E ratio of 6.47. Jonathon Jacobson, Lee Ainslie, and Andreas Halvorsen all invested about $400 million in JPM.

Intel Corporation (NASDAQ:INTC): Intel Corporation is a semiconductor chip maker company. INTC has a dividend yield of 3.96% and gained 3.56% since the beginning of this year. It has a market cap of $111B and a P/E ratio of 9.73. Ken Fisher and Jean-Marie Eveillard both invested about $400 million in INTC.

ConocoPhillips (NYSE:COP): ConocoPhillips is an international, integrated energy company. COP has a dividend yield of 4.24% and lost 6.08% since the beginning of this year. It has a market cap of $85.5B and a P/E ratio of 7.84. Warren Buffett had $2.8 billion of COP shares.

3M Co. (NYSE:MMM): 3M is a diversified technology company. MMM has a dividend yield of 3.06% and lost 14.99% since the beginning of this year. It has a market cap of $51.1B and a P/E ratio of 12.23. Jean-Marie Eveillard invested over $600 Million in MMM.

Medtronic, Inc. (NYSE:MDT): Medtronic is engaged in research, design, manufacture and sale of products to alleviate pain, restore health and extend life. MDT has a dividend yield of 3.02% and lost 11.75% since the beginning of this year. It has a market cap of $33.9B and a P/E ratio of 11.2. Ken Fisher had $332 million invested in MDT. Ric Dillon and John Paulson also both invested about $200 million in MDT.

Time Warner Inc. (NYSE:TWX): Time Warner is a media and entertainment company. TWX has a dividend yield of 3.13% and lost 4.63% since the beginning of this year. It has a market cap of $31.4B and a P/E ratio of 12.95. Ken Fisher had $329 million invested in TWX. Bill Miller also invested more than $100 million in TWX.

Freeport-McMoRan Copper & Gold Inc. (NYSE:FCX): Freeport-McMoRan Copper & Gold Inc is a copper, gold and molybdenum mining company. FCX has a dividend yield of 3.11% and lost 4.63% since the beginning of this year. It has a market cap of $31.4B and a P/E ratio of 12.95. Ken Fisher invested over $400 million in FCX.

The Dow Chemical Company (NYSE:DOW): Dow is a diversified manufacturer and supplier of products used primarily as raw materials in the manufacture of customer products and services worldwide. DOW has a dividend yield of 4.39% and lost 31.80% since the beginning of this year. It has a market cap of $26.9B and a P/E ratio of 10.46. Joshua Berkowitzm had $68 million invested in DOW. Jim Simons and Ray Dalio both had over $30 million invested in DOW stocks.

Disclosure: I am long MSFT, COP.

Source: 17 High Dividend Stocks That Can Afford To Double Dividend Payments