Macy's, Inc.

Higher interest rates have pushed down the prices of many income-producing securities, which creates better entry yields for investors who can tell temporary pressure from real damage. Some high-yield names now face deteriorating fundamentals or rely on the return of capital to fund their payouts, so I'd be cautious with them. I highlight two dividend picks whose sell-offs look driven by rate fears and sector sentiment, not by broken business models.

M digital push gains traction as AI tools, marketplace growth and omnichannel investments support sales and operational improvements.

Both Kohl's and Macy's have slashed their dividends before, both just raised guidance, and both are pitching themselves as turnaround stories.

Dividends are one of the best benefits to being a shareholder, but finding a great dividend stock is no easy task. Does Macy's (M) have what it takes?