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The recent inflation read came in below market expectations at 2.8%. This was seen as a positive sign, and most stocks opened higher. However, the recovery in these stocks is still on shaky ground. Dividend stocks with very high yields can be a much better bet if inflation unexpectedly trends significantly lower in the coming

See why dividend stocks outperform rental properties in 2025. Learn how to build safer, hassle-free passive income with a diversified portfolio.

Realty Income (NYSE: O) is on a mission to invest in places that enable it to deliver a dependable monthly dividend to its investors that increases over time. The real estate investment trust (REIT) has succeeded in its mission over three decades as a public company and recently declared its 130th dividend increase since coming public in 1994.

Dividend stocks are gaining popularity again due to the recent wave of bearishness in the stock market. Both retail and institutional investors chased AI and growth stocks in the past two years, and dividend stocks were rarely on their bucket list as the returns paled compared to the hottest names on the market.