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High-yield dividend stocks always present a difficult framework for investors. Here’s the reality. If you’re simply looking for robust passive income, you could filter your security screeners to uncover the greatest yields. Then, you could call it a day. However, deep down, you know it’s not that easy. Nothing of worth usually is – otherwise, everyone would do it.

Yes, high-yield dividend stocks are plentiful. But if you only focus on the yield and not on other metrics such as sustainability, you could end up losing badly. It’s just like seeking out capital gains. Sure, the small-capitalization play may seem like a hot wager. However, diminutive firms tend to be volatile. In other words, high profit potential usually accompanies high levels of unpredictability.

Still, with thousands of publicly traded opportunities available, there are compelling hidden gems that occasionally sprout up. We’re talking about companies that offer high yields – more than 7% — and yet are tied to relevant businesses. If you’re ready to take the risk, below are three high-yield dividend stocks to consider.

Rio Tinto (RIO)

Based in the U.K., Rio Tinto (NYSE:RIO) falls under the basic materials sector, covering industrial metals and other mining specialties. It engages in exploration, mining and processing of mineral resources worldwide. Along with precious metals like gold and silver, Rio Tinto focuses on important industrial metals like copper. Fundamentally, as the world pivots toward electric vehicles and other advanced solutions, Rio Tinto’s business profile should rise.

Ordinarily, a company that provides a forward dividend yield of 7.71% represents a sign of trouble, not opportunity. However, in this case, RIO legitimately ranks among the high-yield dividend stocks to buy or at least to consider. For example, the company’s payout ratio – while elevated at 70.98% — is reasonable given the massive reward. In contrast, the materials sector’s average yield sits at 2.82%.

Not everything is so enticing about RIO stock, I must say. In particular, Rio only pays out on a semi-annual basis. Therefore, it’s not the best platform if you’re seeking to pay your bills with the passive income. However, as a long-term investment, Rio’s high payout and relevant business makes it incredibly attractive.

Energy Transfer (ET)

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Headquartered in Dallas, Texas, Energy Transfer (NYSE:ET) falls under the oil and gas midstream segment. That means the company focuses as a link between the exploration and production segment (upstream) and the refining and marketing sector (downstream). By engaging the storage and transportation side of the business, Energy Transfer enjoys significant relevance.

Now, before we get into the robust yield, it’s important to realize one thing: Energy Transfer is structured as a master limited partnership (MLP). Essentially, the company doesn’t pay federal income taxes at the enterprise level. Rather, the income and deductions and other related items are passed through to the individual unit holders. Stakeholders must report these items on their personal tax returns.

It can get complicated which is why the disclosure is important. Having said that, Energy Transfer attempts to make up for the pain with the payout. We’re talking about a forward yield of 8.3%. Further, the payout ratio isn’t terrible at 76.54% (though it’s not that great either).

Overall, if you’re looking for high-yield dividend stocks, ET makes a great case. Midstream players are vital to the economy so relevance should not be an issue.

British American Tobacco (BTI)

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Arguably the most controversial idea on this list of high-yield dividend stocks, British American Tobacco (NYSE:BTI) falls under its namesake industry. Due to decades of educational programs by anti-tobacco organizations, the global smoking prevalence rate has declined. In fairness to BTI, the decline hasn’t impacted every single nation. Still, the downward trend is clear. It then raises an obvious question: why BTI?

Fundamentally, while traditional cigarettes may be losing favor, cigarette alternatives have gained enormous popularity. Such products fall under different categories: e-cigarettes, vaporizers, heat-not-burn devices. All operate under a similar theme of replacing the combustion model of “analog” cigarettes with cleaner activation protocols. Many users of the “digital” approach swear by the relatively healthier (though not healthy, to be clear) framework.

As a tobacco giant, British American also commands natural acumen to better replicate the analog experience. Combined with superior economies of scale, BTI should be around for the long haul. Therefore, while its forward dividend yield of 9.71% is utterly massive, it just might be sustainable.

Also, it’s worth pointing out that the payout ratio comes in at 60.9%. That’s not bad for what you’re getting.

On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.