Investing $2,500 in This Basket of Dividend Stocks Should Give You Nearly $200 in Yearly Income

Key Points

• Energy Transfer aims to increase its high-yielding payout by 3% to 5% per year.

• Healthpeak Properties recently resumed increasing its high-yielding monthly dividend.

• Starwood Properties' diversified portfolio enables it to pay a durable dividend.

• 10 stocks we like better than Energy Transfer ›

Investing in dividend stocks can be a dependable way to supplement your income. Many companies pay out consistent dividends that have shown resilience over time.

Several offer very lucrative dividend income. For example, investing $2,500 across the following basket of high-yielding dividend stocks could produce almost $200 of income each year.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Data source: Google Finance and author's calculations. Dividend yields as of Sept. 24, 2025.

While there's no guarantee that a dividend won't get cut, let's take a closer look at what makes these dividend stocks stand out as reliable options for income-focused investors.

Image source: Getty Images.

Energy Transfer

Energy Transfer operates a diversified portfolio of midstream energy assets, including pipelines, processing plants, storage terminals, and export facilities. These assets enable oil, gas, and other commodities to reach end users efficiently and reliably. Approximately 90% of the company's earnings come from stable, fee-based sources such as long-term contracts and government-regulated rate structures. This financial model enables the master limited partnership (MLP), which issues a Schedule K-1 Federal tax form to investors each year, to generate dependable cash flow in support of its high-yield distribution.

The company reported generating nearly $4.3 billion in cash flow during the first half of this year. It distributed around $2.3 billion to investors, allowing it to retain $2 billion to support its ongoing expansion and financial flexibility. This conservative approach supports its growth and ability to continue distributing income to investors.

Energy Transfer plans to invest about $5 billion in growth capital projects this year. Most are expected to come online and start contributing to cash flow in 2026 and 2027. The company recently approved several new projects that will become operational through 2029. These projects will boost its earnings and reinforce Energy Transfer's confidence in achieving its target of raising its high-yield payout by 3% to 5% annually.

Healthpeak Properties

Healthpeak Properties is a real estate investment trust (REIT) with a diversified portfolio leased to high-quality companies in the healthcare sector. The company's holdings include outpatient medical facilities (50% of income), laboratories (36%), and senior housing properties (10%). These assets generate steady, rising rental income via long-term leases with annual rent escalators. This consistent income stream allows Healthpeak to pay a regular monthly dividend.

The healthcare REIT pays out about 75% of its adjusted funds from operations (FFO) in dividends, retaining the rest to maintain its financial flexibility and invest in new income-generating healthcare properties. Healthpeak also has a strong balance sheet to support its future growth and financial stability.

Healthpeak recently used its financial flexibility to invest $148 million in new outpatient medical development projects in Atlanta. The growth from new investments, along with rental increases, positions the REIT to continue growing its adjusted FFO per share, which should enable it to raise its dividend. Heathpeak has recently resumed modest payout growth, increasing its dividend by 2% after years of stable payments aimed at reducing its payout ratio.

Starwood Property Trust

Starwood Property Trust is another REIT, but with a distinct business model. It's a mortgage REIT that manages an increasingly diversified portfolio designed to deliver reliable income to investors.

More than half of Starwood's assets (56%) are commercial loans backed by office, multifamily, industrial, and other properties. The company also has residential lending (10%), infrastructure lending (11%), and other assets. In addition, it has a growing portfolio of owned real estate (13%). The real estate-backed loans provide the REIT with interest income, while its equity investments generate rental income.

The REIT recently boosted its equity portfolio by acquiring Fundamental Income Properties for $2.2 billion. This diversified property portfolio delivers stable, reliable, and growing cash flow through embedded rental increases. Starwood's continued diversification enables it to deliver consistent dividends to investors, despite the cyclical ups and downs of the commercial real estate industry.

A great income basket

Investing in a diversified basket of dividend stocks can help ensure you have a more dependable stream of passive income and reduce the impact should any one company cut its dividend. The combination of Energy Transfer, Healthpeak Properties, and Starwood Property Trust should deliver durable income in the years ahead. That makes them ideal dividend stocks to buy for passive income.

Should you invest $1,000 in Energy Transfer right now?

Before you buy stock in Energy Transfer, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Energy Transfer wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $651,593!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,089,215!*

Now, it’s worth noting Stock Advisor’s total average return is 1,058% — a market-crushing outperformance compared to 188% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of September 22, 2025

Matt DiLallo has positions in Energy Transfer and Starwood Property Trust. The Motley Fool has positions in and recommends Starwood Property Trust. The Motley Fool recommends Healthpeak Properties. The Motley Fool has a disclosure policy.