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If I Had $5,000 to Put Toward Just 1 Dividend Stock, This Would Be It

The Motley Fool | Oct 16, 2026 12:05 PM EDT

With the 10-Year Treasury paying a 5.1% yield, it might seem smarter to invest in fixed-income instruments like CDs and bonds rather than dividend stocks. After all, fixed-income plays generate safer, guaranteed returns, and they must raise their yields as interest rates rise. However, fixed-income instruments aren't a good fit for long-term investors, since their principal never appreciates. Meanwhile, most blue chip stocks appreciate over the long term, and reinvesting their dividends through downturns can create some massive compound returns. Image source: Getty Images. Continue reading

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