In an ultra low interest rate environment, high dividend stocks seem like a better bet than 10-year bonds that only yield 2.4%. AT&T is and has been one of the largest telecom stocks in the world and currently yields 5.92%. The current quarterly dividend is $0.42 per share and 10 years ago it was $0.254 per share. AT&T managed to increase its quarterly dividend by more than 60% over the past decade. Even if we assume that they only increase their dividend by the rate of inflation, AT&T can still beat 10-year bonds if it doesn’t decline by more than 5% per year. If AT&T trades above $14.18 in 2020, an investor would be better off investing in AT&T stock than in ten year treasury bonds.
Free insider trading data website Insider Monkey compiled the list of 5 stocks insiders are buying with at least $5 billion in market cap and 4% dividend yield. These stocks should beat 10-year treasuries unless there are substantial declines in stock prices and significant dividend cuts
Source: Business Insider
Related Articles:
High Dividend Stocks Insiders Are Buying
Posted by D4L | Sunday, October 17, 2010 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
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...
-
The best dividend stocks have one thing in common: resiliency. They can continue increasing their dividends even in the harshest economic en...
-
Investors wanting to enjoy steady and consistent income should consider dividend aristocrats. In fact, even in these chaotic times, dividend...
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
It's hard to beat a sustainable, high-yield dividend paired with a beaten-down valuation. The best dividend stocks offer high yields and...
-
Strange but true: seniors fear death less than running out of money in retirement. And unfortunately, even retirees who have built a nest eg...
-
When hunting for discounted investments, one excellent starting point is to look for businesses with dividend yields trading above their fiv...
-
BDCs can be excellent investment options for those seeking high returns, particularly when acquired at favorable valuations and supported by...
-
How high is too high when it comes to dividend stocks? Of course, every income investor wants as much yield as possible. However, they also ...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.