10 Safe Dividend Stocks with Yields Above 5%

1. Pfizer Inc. (NYSE:PFE)

Dividend Yield as of April 20: 7.77%

Pfizer Inc. (NYSE:PFE) is an American multinational pharmaceutical and biotech company that offers a wide range of related products and services to its consumers. On April 14, the company informed investors that it would discontinue the development of danuglipron, its oral GLP-1 drug candidate for weight loss. While the decision to halt the danuglipron program is a setback, it doesn’t mark the end of Pfizer’s pursuit of breakthrough treatments in the weight-management space. The company is still advancing another option—an oral GIPR antagonist, currently in phase 2 trials and referred to as PF-07976016. More updates on this candidate are expected in the future.

Pfizer Inc. (NYSE:PFE) has been stepping up its efforts in the oncology space, highlighted by its $43 billion acquisition of Seagen, which aims to strengthen its cancer treatment portfolio. The company is targeting substantial growth in this segment over the next five years, with plans to double the number of patients it reaches by 2030. Pfizer also intends to launch at least three cancer drugs that each have the potential to bring in over $1 billion annually. This strategy is already yielding results, with oncology revenue rising 25% in 2024.

Known for its reliable dividend history, Pfizer Inc. (NYSE:PFE) continues to reward shareholders. The company currently pays a quarterly dividend of $0.43 per share, following a 2.4% increase announced in December 2024, which marked its 15th straight year of dividend growth. As of April 20, the stock has a dividend yield of 7.77%.

Overall, Pfizer Inc. (NYSE:PFE) ranks first on our list of the safe dividend stocks with yields over 5%. While we acknowledge the potential of PFE as an investment, our conviction lies in the belief that some deeply undervalued dividend stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for a deeply undervalued dividend stock that is more promising than PFE but that trades at 10 times its earnings and grows its earnings at double digit rates annually, check out our report about the dirt cheap dividend stock.

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