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The yield trap
High dividend yield is often a consequence not of a "generous payout," but of falling stock prices. Investors are selling off the asset due to business problems, which mathematically pushes the yield percentage up.
This is called a "value trap." By buying a company solely for its high yield, you risk buying a sinking ship that will soon cut its payments. The real payout ratio may be inflated due to a fall in net profit, which makes the current dividend rate unsustainable in the future.
Look at the fundamentals, not the figures in screeners.
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