15 Very High Yield Dividend Stocks Worth Checking Out

6. Lumen Technologies (NYSE: LUMN)

Dividend Yield: 8.08%

Revenue: $22.4 billion

Market Cap: $12.50 billion

Assets: $4.47 billion

Headquarters: Monroe, LA

Formerly known as CenturyLink, Lumen Technologies secured the 6th spot on our list of the very high yield dividend stocks. Lumen Technologies offer innovative data center, wireless, and network solutions. The company offers a $1 annualized dividend yielding 8.08%. LUMN is on the wrong side of the technological change and its investors experienced large negative returns over the last 5 years. Billionaire Mason Hawkins is optimistic as he believes CTL is trading at deeply discounted values. In a 2019 investor letter, Southeastern Asset Management highlighted LUMN and stated that:

“CenturyLink (-19%,-1.72%), the fiber and telecom company, was the primary detractor to first-quarter returns after a dividend cut. We were disappointed by that decision and filed a 13-D to enable us to become more active in the investment through seeking to improve the board, encouraging opportunistic asset sales, and exploring creating tracking stocks for the company’s two segments. Private-market transactions of assets comparable to some of CenturyLink’s (CTL) fiber assets have been over 15X EBITDA, far above CTL’s depressed 5X EBITDA stock price. In addition to monetizing some of this fiber, separating the enterprise and consumer segments into distinct tracking stocks could help highlight the values and different opportunity sets for both. We believe that adding board members with experience in fiber and financial transactions can bring additional capital allocation discipline to drive value recognition. We maintain our support for Jeff Storey and his team operationally even while disagreeing about some capital allocation items. Storey bought $1 million in shares personally in the quarter, and CFO Neel Dev, as well as multiple directors, also increased their ownership of the stock.”

Click to continue reading and see the 5 very high yield dividend stocks.

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Disclosure: No position. 15 Very High Yield Dividend Stocks Worth Checking Out is originally published at Insider Monkey.