Here's the Smartest S&P 500 Dividend Stock to Buy With $1,000 Right Now -- and It's Sporting a 6.8% Dividend Yield

You may not have heard of Vici Properties (NYSE: VICI), but it's an S&P 500 component and a dividend-paying stock -- with a recent whopping dividend yield of 6.8%. It's also worth your consideration for your long-term portfolio, whether you have $1,000, $100, or $100,000 to invest.

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First off, know that Vici Properties is a real estate investment trust (REIT), so it's required to pay out at least 90% of its taxable earnings as dividends. REITs generally specialize in one or more parts of the real estate market, such as shopping centers, apartments, or medical properties. Vici is focused on gaming, hospitality, wellness, and entertainment and leisure properties, with premier sites including Caesars Palace Las Vegas, MGM Grand, and the Venetian Resort Las Vegas.

It operates far beyond Las Vegas, too, currently owning 103 properties across the United States and Canada, totaling more than 130 million square feet and including about 66,000 hotel rooms and more than 700 restaurants, bars, nightclubs, and sportsbooks. An intriguing detail is that it owns 33 acres of undeveloped land in Las Vegas -- which could deliver a lot of value one day.

Like other REITs, Vici uses triple-net leases for all of its agreements, where the tenants pay real estate taxes, property insurance, and operating expenses. It recently sported an overall 100% occupancy rate, too, and 45% of its leases are subject to inflation-related escalation. Its average remaining lease term is around 40 years, reflecting a lot of stability.

Vici Properties may not be the fastest-growing stock, but if you're seeking substantial passive income, it's built to deliver it. Its payout has been growing at a respectable clip, too, with its recent annual payout of $1.80 up from $1.50 in 2022 and $1.17 in 2019.

Its valuation is compelling as well, with its forward-looking price-to-earnings (P/E) ratio of 9.2 well below its five-year average of 11.7. Give it a closer look.

Selena Maranjian has positions in Vici Properties. The Motley Fool recommends Vici Properties. The Motley Fool has a disclosure policy.