Pfizer has made the investments needed to get its drug pipeline back on track.
United Parcel Service's turnaround effort is starting to show progress.
The U.S. market appears to be rotating away from high-flying tech stocks. With other stocks, including dividend payers, getting more attention, it has become more difficult to find attractive high-yield opportunities. However, Pfizer (NYSE: PFE) and United Parcel Service (NYSE: UPS) could still be of interest to investors willing to dip into turnarounds.
Here's what you need to know.
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Pfizer is one of the world's largest pharmaceutical companies. Its dividend currently yields 6.2%, and the company has specifically stated that it wants to maintain the dividend at its current level. That's the starting point for this high-yield turnaround play.
The bigger story is that Pfizer has acted quickly to address a shortfall in the GLP-1 weight loss space by making an acquisition and creating a distribution partnership. It is still behind the curve, but its long-acting drug candidate could mean a monthly shot instead of weekly.
That could be enough to get Pfizer back in the game, which is a testament to the company's capabilities in the drug sector. It also has opportunities in oncology and migraines ahead.
If you are willing to take on a little more risk for significantly more yield, Pfizer could be a good high-yield investment idea for you today.
UPS is one of the world's largest package delivery companies. The yield is currently 5.5%.
The stock price has started to turn higher in recent months because of early signs that the turnaround in place is working. The big-picture goal is to refocus the company on its most profitable business, including shifting away from high-volume, but low-profit-margin customers.
Notably, the industrial company's U.S. business saw a volume decline but higher profitability per piece in 2025. And its higher-margin business-to-business operations grew in size. This is exactly what management has been attempting to achieve. No wonder investors are more upbeat about UPS today than they were just a few months ago.
Turnaround stocks require more attention, but UPS could be worthwhile if you think long-term. And UPS' 2026 guidance suggests that the dividend is safe. If the company can continue the current business trends, improved earnings could make the dividend not just safe, but also sustainable over the long term.
Investors have shifted gears, which is making it more difficult to find dividend stocks. But if you like high-yield investments, Pfizer and UPS are moving in the right direction, business-wise, and continue to have very large dividend yields.
Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Pfizer and United Parcel Service. The Motley Fool has a disclosure policy.