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PepsiCo ( PEP ) offers a 3.42% dividend yield and global brand awareness.
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Kimberly-Clark ( KMB ) reported an adjusted operating profit of $629 million in Q4 2025 and paid a 4.96% dividend yield.
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Realty Income (O) offers an attractive 5.19% dividend yield and is a real estate giant that owns or has an interest in 15,542 properties.
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Investors rethink ‘hands off’ investing and decide to start making real money
Baby boomers, born between 1946 and 1964, will be 62 to 80 years old in 2026. This group, sometimes known as “Boomers,” will often face unique economic challenges in the years to come.
In this regard, baby boomers may turn to dividend stocks as they can provide continuous passive income streams. However, it’s important for boomers to choose high-quality stocks instead of chasing the biggest dividend yield.
Baby boomers, on the other hand, don’t have to settle for small dividend yields. It is entirely possible to choose the best stocks that provide good income streams through reliable dividends. So now, get ready for three high-yield stocks that are ideal for boomers.
Any baby boomer who grew up in America should definitely recognize it PepsiCo (NASDAQ: PEP ), the soda and snack foods giant. Boomers have been around long enough to witness the ups and downs of the economy, and PepsiCo has lived through the good times as well as the bad.
Every time you bite into Cheetos or Doritos and wash them down with Gatorade, you’re enjoying Pepsi products, whether you know it or not. The company’s enduring global multi-brand awareness creates a safety net for PepsiCo and its investors, so baby boomers shouldn’t lose sleep at night if they’re shareholders.
You may notice that PEP stock has a track record of going up over time. Baby boomers may seek growth in terms of share-price growth while looking for opportunities to generate periodic income through dividend distributions.
Moreover, it is a good idea to check the financial performance of the company before making any investment decision. Take PepsiCo as an example. In 2025, PepsiCo reported revenue of $93.925 billion, up 2% year over year.
In other words, PepsiCo can easily pay its dividends and won’t go bankrupt anytime soon. Currently, PepsiCo offers a forward annual dividend yield of 3.42%, which is very generous for a company of this caliber.
Additionally, it’s nice to know that Pepsi has a tendency to increase its dividend payout. To provide an example, PepsiCo paid a dividend of $1.355 per share on March 7, 2025, but then increased its payout to $1.423 per share three months later.
By now, you should have a good idea of what baby boomer investors can look for when searching for top-quality dividend stocks. You don’t have to deal with extremely risky assets if you know how to research stocks and companies.
You may be surprised to know that there is a large consumer brand business that offers a dividend yield of around 5%. This is a perfect example of how baby boomers can get the best of both worlds in stocks: passive income and share-value growth in one package.
I am referring to Kimberly-Clark (NASDAQ:KMB) stock, which has risen in value over the years and is very volatile. You can classify KMB stock as a “steady eddy” stock that baby boomers don’t have to worry about when the economy falters.
You might not think you’re familiar with Kimberly-Clark, but you definitely know about the company’s Kleenex, Scott, Huggies, Cottonell and Depend products. It is a large company with net sales worth $4.1 billion in the fourth quarter of 2025.
Not only that, but Kimberly-Clark reported an adjusted operating profit of $629 million in Q4 2025, up 13.1% year over year. Today, Kimberly-Clark offers an excellent 4.96% annual dividend yield, so boomers should keep a close eye on KMB stock in 2026.
How Can Baby Boomers Become Real Estate Investors Without Buying Properties? This is actually possible if you own shares Realty income (NYSE:O), a real estate investment trust (REIT).
To sum it up, realty income is real estate owned or interested in 15,542 properties. In the quarter ended September 30, 2025, Realty Income reported revenue of $1.47 billion, compared to $1.33 billion in the year-ago quarter.
Like the other stocks mentioned today, O stock has a long history of price appreciation. Just be aware that the real estate market will have good years and tough years. There are no guarantees, but buying and holding Realty Income shares can put you in a favorable financial position.
Getting down to the nitty gritty, Realty Income offers an attractive 5.19% dividend yield and has a track record of steadily increasing its dividend distribution. Therefore, along with PEP and KMB, O stock is an easy high-yield pick for today’s baby-boomer investors.
For more than a decade, investment advice aimed at everyday Americans followed a familiar script: automate everything, keep costs low, and don’t touch a thing. And, increasingly, investors are realizing this Being completely hands off also means being completely disconnected.
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