Apple Inc. (AAPL), Exxon Mobil Corporation (XOM): Who’s The Top Dog?

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Exxon isn’t going to give up on this push, and investors will likely benefit from the company’s dedication to the long term. In fact, the company has done so well for so long that it is virtually always afforded a premium valuation.

While conservative investors might be interested in Exxon Mobil Corporation (NYSE:XOM), those looking for a larger yield might want to consider similarly positioned Royal Dutch Shell plc (ADR) (NYSE:RDS.A) and its roughly 5% dividend yield.

Rounding Out the Trio

AT&T Inc. (NYSE:T) recently reported difficult quarterly results, as competition from its duopoly partner Verizon Communications Inc. (NYSE:VZ) took an obvious toll on performance. Another smaller competitor starting to sell the iPhone didn’t help either. However, the company still has a dominant industry position (it is part of a duopoly after all) and is financially sound. Its fortunes will ebb and flow, but a long-term decline seems unlikely without a material fight.

With the earnings news precipitating a notable price drop, income investors might want to examine this 4.0% yielding equity for purchase. Note, however, that around half of its business is tied to its older wired line business, which is in slow decline. The cell business, then, is the real growth driver. Here, increased data usage appears to be driving increased revenues per customer. That’s a positive trend that seems to have been lost in the earnings fallout.

AT&T and Verizon, though not interchangeable, are so similar that choosing between the two can be difficult. Buying both is one answer, but for those not willing to own the pair, AT&T’s long standing commitment to annual dividend increases might be the deal breaker. Verizon’s dividend hikes haven’t been as regular.

Big Payers

Apple Inc. (NASDAQ:AAPL), Exxon Mobil Corporation (NYSE:XOM), and AT&T Inc. (NYSE:T) are all household names. They are also all well run companies and, in aggregate, pay large dividends. Oddly, oil giant Exxon is the lowest yielding of the trio. Regardless, all three should be of interest to income investors—even if its just to window shop.

The article The Worlds Biggest Dividends, Part 1 originally appeared on Fool.com and is written by Reuben Brewer.

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