Dividends are not future guarantees. Although companies try very hard to avoid cutting their dividends because of the bad publicity, a history of paying a dividend does not mean the company will necessarily continue to do so. As an investor going into a dividend stock investment, it's vital to perform due diligence first if you want to rely on the dividend income.
Operating cash is often the company's source for funding dividend payments -- at the very least, it's the most sustainable source. This implies that dividends are only as sustainable as the company's operating cash flows, so analysis of cash flows is important. Use this list as a starting point for your own analysis:
1. Navios Maritime Holdings (NYSE: NM)
2. Universal (NYSE: UVV)
3. BT Group (NYSE: BT)
4. Sasol (NYSE: SSL)
Source: Motley Fool
Related Articles:
- Seeding A Forest Of Dividend Stocks
- Dividend Stocks Are Getting Expensive
- Never Fall In Love With A Stock
- Seven Stingy Dividend Stocks
- 4 Dividend Stocks For The Social Security Blues
Dividend Stocks With Strong Cash Coverage
Posted by D4L | Monday, November 14, 2011 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.