# High-Yield Dividends Risk Warning Signs

> Six stocks with high dividend yields show hidden risks that could lead to cuts.
- Title: High-Yield Dividends Risk Warning Signs · 24/7 Wall St.
- Summary: Six stocks with high dividend yields show hidden risks that could lead to cuts. Investors should check coverage math, not just yield, to avoid dividend cuts…
- Keywords: altria, pfe, western union, franklin resources, lyondellbasell, bpx, dividend yield, coverage math, dividend cut, stock price, reit, mlp
- Source: 24/7 Wall St. — https://247wallst.com/investing/2026/09/23/these-6-high-yield-dividends-may-be-too-good-to-be-true
- Author: Chris Lange
- Published: 2026-09-23T17:25:42+00:00
- Read time: 1 min
- Topics: altria, pfe, western union, franklin resources, lyondellbasell, bpx, dividend yield, coverage math, dividend cut, stock price, reit, mlp
## Dividend Yield Trap
A fat dividend yield can signal a screaming buy or slow-motion disaster, and the difference hides in coverage math most investors never check.
## Altria's Warning Signs
Altria carries negative stockholders’ equity of roughly $3.2 billion, with declining share percentages and negative operating cash flow.
## Pfizer's Earnings Gap
Pfizer's dividend per share of $1.72 exceeds diluted earnings per share of $0.77, signaling coverage risks.
## Western Union's Collapse
Western Union's stock price dropped to $8.10 with a fixed quarterly dividend of $0.235 since 2021.
## Franklin Resources' Cash Flow
Franklin Resources has swung negative operating cash flow multiple times against a dividend payout above $170 million.
## LyondellBasell's Cycle
LyondellBasell's operating cash flow slid from $4.94 billion in 2023 to $2.26 billion in 2025, with a dividend gap.
## BXP's REIT Strain
BXP's FFO/AFFO cushion is stretched with high capex and dividends against low operating cash flow.
## Dividend Cut Risk
A dividend cut usually takes the share price with it, sometimes twice: first when the market anticipates it, then again when it lands.
## Coverage Math Matters
Use the right measuring stick, run it every quarter, and treat management’s insistence on safe payouts as one data point among many.
## Key takeaway

Investors should check coverage math, not just yield, to avoid dividend cuts that could trigger share price drops.