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3 Stocks to Buy With Dividends Yielding More Than 5%

It's hard to beat dividends when investing in the stock market. The market, or any particular stock in it, will fluctuate over time, sometimes significantly. But a healthy, growing company will keep paying out its dividends -- and will increase them over time, too. In this prolonged period of ultra-low interest rates, dividends also offer compelling income streams, with many yields topping interest rates -- and inflation, as well. So, when looking for stocks to buy, consider dividend payers.

Here are three promising companies, each of which recently offered a dividend yield above 5%.

Textainer is more profitable than many of its customers. Source: Textainer Limited Investor Presentation.

The company's revenue has more than doubled over the past decade, while net income has tripled. Its gross margins top 85%, and net margins have slipped a bit but top 30%. The stock seems fairly valued, with its current and forward-looking P/E ratios near 10, which happens to be its five-year average. Long-term investors are likely to enjoy hefty income from this reliable payer.

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The article 3 Stocks to Buy With Dividends Yielding More Than 5% originally appeared on Fool.com.

Selena Maranjian has no position in any stocks mentioned. The Motley Fool recommends Textainer Group. Try any of our Foolish newsletter services free for 30 days . We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy .

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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.


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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