The article identifies three high-yield dividend stocks for October: Pfizer (6.28%), UPS (7.5%), and Enterprise Products Partners (6.89%), each with a history of consistent dividend growth. Pfizer is implementing a substantial cost-savings plan and advancing into new growth areas like weight management drugs, supported by a recent U.S. government agreement. UPS is strategically pivoting to higher-margin business segments, including a planned reduction in low-margin Amazon volume, aiming for long-term profitability despite its stock trading near a 52-week low. Enterprise Products Partners offers stable, predictable cash flow from its midstream energy assets, underpinned by regulated contracts and ongoing strategic infrastructure investments.
Investing 3 High-Yield Dividend Stocks to Buy in October Oct 6, 2025 | Updated 10:32 AM ET This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them. Key Points - These three stocks have a yield higher than 6%. - Reinvesting your dividends can help build a solid retirement portfolio. - Are you ahead, or behind on retirement? SmartAsset’s free tool can match you with a financial advisor in minutes to help you answer that today. Each advisor has been carefully vetted, and must act in your best interests. Don’t waste another minute; learn more here.(Sponsor) To investors, the stock market is considered one of if not the greatest ways to build wealth. While no asset can guarantee returns, the stock market has performed significantly well over the past decade. There are thousands of companies to choose from, and there’s a chance a few of those could help you achieve your goals. If you’re someone who likes to make your money work for you, consider investing in dividend stocks. High-quality dividend stocks not only generate income but also offer high potential for capital appreciation. A steady dividend can help cover your monthly expenses and generate a higher total return on investment. Here are three dividend stocks with a yield higher than 6% to buy this month. Their dividend payout ratios are secure, and the businesses are stable, making these solid buys to add to any passive income portfolio. 1. Pfizer Dividend yield: 6.28% Pharmaceutical company Pfizer (NYSE: PFE) is one of the best dividend stocks to own this month. The stock offers a juicy yield of 6.28%, significantly higher than the 1.25% average yield of the S&P 500. While the stock has suffered after the pandemic, it is gaining ground and has built a cost-savings plan. Revenue and net income (aka profit) have both declined significantly since 2022, and the company has been punished for its own success. However, investors need to look at it beyond the COVID-19 vaccine. Despite the ups and downs, Pfizer is a company that has grown stronger in the past two years. Exchanging hands for $27, PFE is up 2.8% in 2025. The company has earned approval for medicines in the past few years and has recently acquired Metsera, a biotech company working on weight management medicines. The demand for anti-obesity therapies is growing, and Metsera has a leading candidate that has performed well in two mid-stage studies. Its phase 3 testing will begin at the end of the year, and it could be a huge hit for Pfizer. The management has also made the right move to handle tariff concerns. It struck a deal with the U.S. government, which will give it a three-year exemption from tariffs, and in exchange, the company will sell certain drugs at lower costs while growing its manufacturing footprint in the country. It aims to achieve net cost savings of $4.5 billion by the end of this year and $7.2 billion by 2027. There’s a lot working in favor of Pfizer, and the current valuation makes it even more attractive. The company has increased its dividend payout for 16 consecutive years. 2. United Parcel Service Dividend yield: 7.5% Another dividend stock worth buying in October is the logistics giant United Parcel Service (NYSE: UPS). It offers an attractive dividend yield of 7.5% and has increased dividends for 24 consecutive years. The package delivery company is doubling down on expanding the higher-margin markets like small and medium-sized businesses and healthcare. It aims to focus on margin quality over volume, and this will have an impact on the fundamentals. The company has decided to reduce the shipments from Amazon.com Inc. (NASDAQ:AMZN) by more than 50% from the second half of 2026, which will lead to a revenue hit. However, Amazon deliveries generate very limited margin, and UPS aims to pivot to high-margin segments. UPS is a household name and one of the biggest players in the logistics industry. It enjoys brand loyalty and has limited competition. The management aims to hold the current payout and could continue to reward investors in the near term. Exchanging hands for $86, UPS stock has dropped 29% year-to-date and 33% in a year. It is nearing the 52-week low of $82. Things might have gone downward for UPS since the beginning of the year, but the management is ready to change directions and focus on higher margins. The tariffs could impact the profitability in 2026, and the company might miss guidelines. However, it is committed to paying $5.5 billion in dividends this year. Even if it decides to cut the dividend to 5%, it’ll still fare better than hundreds of stocks in the market. E-commerce is not a fleeting industry, and UPS is here to stay. 3. Enterprise Products Partners Dividend yield: 6.89% Enterprise Products Partners L.P. (NYSE: EPD) is a top dividend stock to add to your portfolio this month. With a yield of 6.89%, the company has increased distribution for 27 years. The energy company has a midstream natural gas and crude oil pipeline business, and it is in a great position to expand. EPD has assets that generate predictable cash flow, and it has contracts backed by government-regulated rate structures. Midstream businesses are different from upstream and downstream business models. No matter where the crude oil prices go from here, midstream businesses enjoy consistent demand. The company has a very strong balance sheet and a consistent business model. Consumers pay a specific fee to use its assets, and this fee is predictable, which allows the management to maintain a high dividend yield. It also has the liquidity to invest in other projects. Enterprise Products Partners already has $6 billion worth of capital projects under construction. It recently entered into an agreement with Occidental Petroleum (NYSE:OXY) for the purchase of a natural gas gathering system for $580 million. Enterprise will build a new processing plant and support Occidental’s operations. It has distributable cash flow coverage at 1.7 times the payout, which says a lot about the strength of this business. The stock has remained flat this year and is trading for $31.73 at the time of writing. If You’ve Been Thinking About Retirement, Pay Attention (sponsor) Retirement planning doesn’t have to feel overwhelming. The key is finding expert guidance, and SmartAsset’s simple quiz makes it easier than ever for you to connect with a vetted financial advisor. Here’s how:- Answer a Few Simple Questions. - Get Matched with Vetted Advisors - Choose Your Fit The image featured for this article is © 24/7 Wall St. Latest Podcast Episode AI Companies Entering A Game of Chips More Wild Than Westeros 62 min The article presents three distinct high-yield dividend stocks, each with a unique investment thesis. Pfizer (PFE), with a 6.28% yield and 16 consecutive years of dividend increases, is positioned as a turnaround story. Despite recent revenue declines post-pandemic, the company is executing a significant cost-savings plan targeting $4.5 billion by year-end and is entering the high-growth anti-obesity market through its acquisition of Metsera, with Phase 3 testing to begin soon. In contrast, United Parcel Service (UPS) represents a strategic realignment play, offering a 7.5% yield after a 29% year-to-date stock decline has brought it near its 52-week low. Management is deliberately pivoting from low-margin volume, evidenced by a planned reduction in Amazon shipments by over 50% from the second half of 2026, to focus on higher-margin healthcare and SMB markets, though this introduces near-term revenue and execution risk. Finally, Enterprise Products Partners (EPD) is highlighted as a stable income generator with a 6.89% yield and a 27-year history of distribution growth. Its midstream energy model provides predictable, fee-based cash flows insulated from commodity price swings, supported by a strong 1.7x distributable cash flow coverage and $6 billion in ongoing capital projects, reinforcing the dividend's security.
AI-powered research, real-time alerts, and portfolio analytics for institutional investors.
Request a DemoOverall Sentiment
strongly positive
Sentiment Score
0.70
Ticker Sentiment
