Companies within the communications services sector are often a favorite of income investors, as many telecom stocks boast high dividend yields. Even better, many of these high yields are quite safe as they are well covered by cash flow.

The top telecom stocks share a few key qualities. They have large customer bases and charge high prices for their broadband, wireless, cable, and other services. Consumers have high demand for these services, even during economic downturns, which fuels telecoms’ profits and dividends.

This article will examine three of our favorite communications services stocks that have high dividend yields with safe dividend payouts, and also offer high total return potential.

Verizon Communications (VZ)

Verizon Communications is one of the largest wireless carriers in the country. Wireless contributes three-quarters of all revenues, and broadband and cable services account for about a quarter of sales. The company’s network covers ~300 million people and 98% of the U.S.

On October 29th, 2025, Verizon reported third quarter results for the period ending September 30th, 2025. For the quarter, revenue grew 1.5% to $33.8 billion, but this was $470 million below estimates. Adjusted earnings-per-share of $1.21 compared favorably to $1.19 in the prior year and was $0.02 better than expected.

For the quarter, Verizon Consumer had postpaid phone net losses of 7,000, which compares to net additions of 18,000 in the same period of last year. However, wireless retail core prepaid net additions grew 47,000, marking the fifth consecutive quarter of positive subscriber growth.

Consumer wireless retail postpaid phone churn rate remains low at 0.91%. The Consumer segment grew 2.9% to $26.1 billion while consumer wireless service revenue increased 2.4% to $17.4 billion. Consumer wireless postpaid average revenue per account grew 2.0% to $147.91.

Verizon reaffirmed prior guidance for 2025 as well, with the company still expecting wireless service revenue to grow 2% to 2.8% for the year. Verizon is also expected to produce adjusted EPS growth in a range of 1% to 3%.

VZ has increased its dividend for 21 consecutive years and currently yields 6.8%.

Comcast Corporation (CMCSA)

Comcast is a media, entertainment and communications company. Comcast has two key business segments: Connectivity & Platforms (Residential Connectivity & Platforms and Business Services Connectivity), and Content & Experiences (Media, Studios, Theme Parks).

Comcast reported its Q3 2025 results on 10/30/2025. Revenue fell 2.7% year over year to $31.2 billion, operating income fell 5.5% to $5.5 billion, adjusted earnings fell 4.9% to $4.1 billion, while adjusted earnings-per-share (EPS) was flat at $1.12.

The Connectivity & Platforms segment’s revenues fell by 1.4% to $20.2 billion. The segment’s adjusted EBITDA fell 3.7% to $8.0 billion. The Content & Experiences segment’s revenue dropped by 6.8% to $11.7 billion, primarily due to stronger results last year due to the Olympics, while its adjusted EBITDA rose 8.4% to $2.0 billion.

For the quarter, Comcast repurchased $1.2 billion worth of common stock at an average price of $26.09 per share, reducing its shares outstanding by 5% versus a year ago. CMCSA has increased its dividend for 17 consecutive years and currently yields 4.8%.

Twenty-First Century Fox (FOXA)

Fox Corp. is a television broadcasting company that was spun off from the former 21st Century Fox when The Walt Disney Co. (DIS) acquired most of its assets in 2019, including its cinema entertainment business. For Fiscal Year (FY) 2025, the company generated $16.3 billion in revenue.

On August 5th, 2025, Fox Corp. reported fourth quarter results for Fiscal Year (FY) 2025. The company reported strong fourth-quarter fiscal 2025 results, with revenue rising 6% year-over-year to $3.29 billion, driven by growth in affiliate fees, digital advertising through Tubi, and higher content revenues.

Net income surged to $719 million, or $1.57 per share, compared with $319 million, or $0.68 per share, in the prior-year quarter. Adjusted net income was $581 million, or $1.27 per share, up from $423 million, or $0.90 per share, while adjusted EBITDA increased 21% to $939 million.

For the full fiscal year 2025, Fox reported record results, with revenue increasing 17% to $16.3 billion and net income rising to $2.29 billion from $1.55 billion last year. Adjusted net income reached $2.20 billion, or $4.78 per share, compared with $1.65 billion, or $3.43 per share, in fiscal 2024.

Reflecting confidence in its long-term trajectory, the company announced a $5 billion increase to its share repurchase program—bringing total authorization to $12 billion—and raised its semi-annual dividend to $0.28 per share. FOXA currently yields 0.9%.

Disclosure: No positions in any stock mentioned

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Bob Ciura has worked at Sure Dividend since October 2016. He oversees all content for Sure Dividend and its partner sites. Bob received a Bachelor’s degree in Finance from DePaul.