A high dividend yield is typically the result of either a high dividend or a low share price. The latter is quite common in a slowing economy where sales and profits are beginning to fall. As the share price drops, the yield will go up, though not necessarily for the right reasons.
Several companies have offered high yields only to cut or eliminate the dividend later. That’s been the case in the telecom space in the past. More recently, we’ve seen it with banks and oil companies. Shell’s...
