Whether Certain Telecommunication Stocks With Outsized Dividends Are Worth The Risk

Tue, 09/06/2011 - 07:53 EDT - Seeking Alpha

By Brian Gorban:
Leaders in Dividend Yield
Alaska Communications Systems G (ALSK) 11.70%
Frontier Communications Corpora (FTR) 10.00%
Consolidated Communications Hol (CNSL) 8.20%
CenturyLink, Inc. Common Stock (CTL) 8.20%
Windstream Corporation (WIN) 8.00%
Just a quick scan of Telecommunication ("Telecom") stocks show that they have some sizeable yields worth looking more into as the 10-year yield now hovers around a paltry 2% (yes, that means lending the U.S. government money for a full 10 years and only getting 2% annually). I don't know about you, but fuel, food, tuition, and pretty much everything else has been rising in price considerably higher than that and as a result we're losing our real purchasing power (if my dollar buys 5% less and I only earned 2% on the money, that means I essentially lost a full 3% of my wealth and hence the saying "cash is trash"). Therefore, these high yielding stocks are worth aComplete Story »

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Whether Certain Telecommunication Stocks With Outsized Dividends Are Worth The Risk

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