6.6%+ dividend yields! 2 FTSE 100 dividend stocks to buy

Finding the best dividend stocks to buy requires extra care today as soaring inflation takes a bite out of shareholder returns. Here are two top FTSE 100 stocks I’d buy for these tough times.

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Trying to get a positive real return from dividend stocks is extremely difficult right now. Inflation is rising at breakneck pace, and on the FTSE 100 there are few stocks that offer yields above the rate at which prices are rising.

Consumer price inflation (CPI) hit an eye-popping 9% in April. That’s the highest for over 40 years and a big leap from March’s figure of 7%.

Inflation Is Coming

Inflation is out of control, and people are running scared. But right now there’s one thing we believe Investors should avoid doing at all costs… and that’s doing nothing. That’s why we’ve put together a special report that uncovers 3 of our top UK and US share ideas to try and best hedge against inflation… and better still, we’re giving it away completely FREE today!

Click here to claim your copy now!

Finding great stocks that can help take the sting out of this inflationary boom is critical. And with some careful research it can be done.

Here are two FTSE 100 dividend stocks whose big yields I think could help protect my wealth. I reckon they could deliver massive long-term rewards as well.

Saluting a top income stock

Soaring fuel costs pose a danger to Admiral Group (LSE: ADM) in the near term. Petrol and diesel values hit fresh record highs this week and more pain is expected. This threatens to damage trading at car insurers as people leave their motors parked.

That being said, I still think Admiral is a great buy today. Revenues at general insurance businesses like these tend to be more stable than those of most other UK shares when times get tough (Admiral also offers home, travel and pet insurance).

Brand power

I also like the FTSE 100 firm because of the strength of its brands like Admiral, Diamond and Elephant. These divisions have helped the company carve out the largest market share in the UK car market. And they could help protect earnings at the business even if the broader industry comes under pressure.

Today Admiral carries a forward dividend yield of 8%. This may not keep up with the pace of inflation in the UK. But it significantly reduces the real-term impact of rocketing prices right now.

Another top FTSE 100 dividend share

I also think Vodafone Group (LSE: VOD) is a top FTSE 100 dividend stock for these uncertain times.

This is because, like general insurance companies, trading at telecoms businesses remain largely robust at all points of the economic cycle. Having good communications is a necessity in an increasingly digitalised society.

Vodafone is an especially appealing income stock during this era of high inflation too. Its 6.6% forward dividend yield helps take much of the bite out of soaring CPI.

BIG market opportunities

It’s important to note that intense competition among broadband and mobile providers poses a big threat to Vodafone. This is particularly troublesome today as the cost of living crisis prompts consumers to shop around for the best deal.

However, I still believe Vodafone has plenty of opportunities to generate strong profits growth, both now and in the future. Its robust position in the fast-growing African telecoms market is one. So is the rollout of 5G across the globe. This is a FTSE 100 dividend stock I’d buy today and seek to hold for years to come.

Inflation Is Coming: 3 Shares To Try And Hedge Against Rising Prices

Make no mistake… inflation is coming.

Some people are running scared, but there’s one thing we believe we should avoid doing at all costs when inflation hits… and that’s doing nothing.

Money that just sits in the bank can often lose value each and every year. But to savvy savers and investors, where to consider putting their money is the million-dollar question.

That’s why we’ve put together a brand-new special report that uncovers 3 of our top UK and US share ideas to try and best hedge against inflation…

…because no matter what the economy is doing, a savvy investor will want their money working for them, inflation or not!

Best of all, we’re giving this report away completely FREE today!

Simply click here, enter your email address, and we’ll send it to you right away.

Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended Admiral Group and Vodafone. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

Should you invest the value of your investment may rise or fall and your Capital is at Risk. Before investing your individual circumstances should be considered, so you should consider taking independent financial advice.

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