This Monster Dividend Stock Boasts the Free Cash Flow to Mint Millionaires

Given that truthful galore blue spot dividend stocks are aged companies from antiaircraft oregon worth sectors, investors tin beryllium forgiven if they don't readily subordinate dividends with accelerated short-term gains.

On that note, it's not a agelong to accidental Verizon Communications (NYSE: VZ) usually isn't atop investors' "millionaire maker" lists. The telecom elephantine whitethorn not beryllium connected those lists astatine all, peculiarly arsenic truthful galore newer marketplace participants travel of property amid extended enactment by growth stocks.

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Still, adjacent the astir growth-enthused investors ought to see immoderate dividend exposure. From 1957 done May 2025, dividends accounted for astir a 4th of the S&P 500's mean monthly return. Sometimes the percent is higher, and sometimes it's lower, but the constituent is that dividends are adjuvant successful investors' quest to scope the seven-figure club, which could heighten the allure of Verizon.

One crushed Verizon stock has truthful galore fans successful the equity income assemblage is its 6.12% dividend yield, astir 6x what investors gain connected a basal S&P 500 scale fund.

Dividend output tin beryllium seductive, and not ever successful a affirmative way. Sure, erstwhile that metric is high, it tin thrust eyeballs to a stock, but output unsocial doesn't overgarment a afloat representation of a company's payout sustainability. Actually, elevated yields tin beryllium reddish flags, signaling to investors that the financially strapped companies to which those yields beryllium whitethorn beryllium nearing dividend cuts oregon suspensions.

Fortunately for investors evaluating Verizon arsenic a imaginable wealthiness enhancer, this banal isn't a output trap. It's really a dividend maturation story, arsenic highlighted by a 19-year payout summation streak. That's the benignant of dependability dividend investors crave, and that reliability is important successful evaluating Verizon's wealth-building chops.

Good news: This dividend and its imaginable maturation are backstopped by an awesome escaped currency travel trajectory. In 2025, Verizon generated escaped currency travel of $20.1 billion, up from $19.8 cardinal the twelvemonth prior. The institution forecast 2026 escaped currency travel of astatine slightest $21.5 billion, which would beryllium bully for the highest level since 2020.

Among dividend stocks that tin assistance diligent investors boost their nett worth, Verizon is simply a telephone worthy answering. The aforementioned increasing escaped currency travel confirms this, arsenic past twelvemonth the institution directed 60% of that currency travel to dividends.