Earn a 5.2% Yield From Walmart Using This Hack

Walmart WMT has been one of the market's best-performing stocks since its 1970 initial public offering, and it has paid dividends since 1974. However, its yield is just 1.4% today, which doesn't get many dividend and income investors excited.

Fortunately, there's a hack you can use to get a 5.2% yield from Walmart, and that's by investing in one of its largest landlords.

Here's how.

Agree Realty Corporation

Agree Realty Corporation ADC owns and manages a portfolio of 2,135 properties across 49 states containing approximately 44 million square feet of gross leasable space. It counts world-class retailers such as Walmart, Lowe's, McDonald's, Starbucks, CVS, Walmart, ULTA, Home Depot, Target, and Costco as tenants.

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Walmart is listed as Agree Realty's largest tenant in its most recent investor presentation, equating to 6.1% of its annualized base rent.

So, by owning Agree Realty, you can generate monthly income that is partially attributable to Walmart.

Agree Realty currently pays a monthly dividend of $0.247 per share, equating to an annualized dividend of $2.964 per share and giving its stock a yield of about 5.2% today.

On top of having a high yield, Agree Realty is a dividend-growth star. It has raised its annual dividend payment for 11 consecutive years, and it's already on track for 2024 to mark the 12th consecutive year with an increase.

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