Bad news tends to overshadow good news. That's especially the case when there has been a lot of bad news in recent weeks as we have experienced. However, there's now good news as well. The major stock market indices have been rising. None of them are in a bear market now -- and the S&P 500 is no longer in correction territory.
Income investors could especially have a great opportunity to lock in attractive dividend yields right now. Here are three high-yield dividend stocks to buy in a market rebound.
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1. Enterprise Products Partners
Enterprise Products Partners (EPD 0.26%) didn't sink as most stocks have in recent months. The major midstream energy company's shares are up close to 18% year to date.
This solid gain makes sense considering the current overall dynamics of the oil and gas industry. Prices have risen in part due to worries about the Russian invasion of Ukraine. However, the demand for oil and gas has also increased as the global economy recovers from the impact of the COVID-19 pandemic.
Enterprise has been a key beneficiary of these tailwinds with its pipelines, natural gas processing facilities, and storage facilities. It should also profit further if the stock market continues to rebound and economic uncertainties fade. But even if not, Enterprise is a stock that should hold up well no matter what the market does.
The company offers a juicy dividend yield of 7.2%. Enterprise has also increased its distribution for 23 consecutive years. There aren't too many high-yield dividend stocks with such an impressive track record.
2. Medical Properties Trust
Medical Properties Trust (MPW 2.41%) stock hasn't fared quite so well. Its shares are still down around 9% year to date after beginning to bounce back in mid-March. However, the company's underlying business hasn't skipped a beat.
That underlying business is owning and leasing hospitals. Medical Properties Trust is a real estate investment trust (REIT) with around 440 facilities in its portfolio. Roughly 60% of these properties are in the U.S. with the remaining hospitals in eight other countries -- primarily in Europe.
As you might expect, Medical Properties Trust's lease revenue doesn't rise or fall based on stock market gyrations. Higher inflation rates shouldn't be a big problem, either. The REIT has rent escalators based on the Consumer Price Index built into more than 99% of its leases.
REITs are known for their dividends. Medical Properties Trust is no slouch on that front. Its dividend yield currently stands at nearly 5.5%. The company has increased its dividend for eight consecutive years.
3. Verizon Communications
Verizon Communications (VZ -0.07%) claims a distinction that very few high-yield dividend stocks have: It's one of Warren Buffett's favorites. The telecom giant ranks as the eighth-largest holding in Berkshire Hathaway's portfolio.
Should you buy Verizon just because Buffett likes it? Of course not. However, it's a good idea to at least consider what an investor such as the Oracle of Omaha might find attractive about Verizon.
The dividend certainly stands out. Verizon's dividend yield tops 5%. The company has increased its dividend for 15 consecutive years. Verizon should easily be able to keep that streak going with a payout ratio of less than 48%.
Sure, Verizon probably won't deliver sizzling growth. However, the company could have better growth opportunities than you might think with its high-speed 5G network, especially in expanding further in the home internet market. There's more good news for Verizon than there is bad news.
