As companies do everything they can to eliminate costs, dividends have not been spared. Names that have been traditionally known as the stable dividend payers have been anything but stable in the last few years. However, there are still a couple of names that continue to pay attractive yields.
Companies with long-term dividend track records often represent strong quality businesses that can be counted on to increase in share price over a long holding period. A study by Ned Davis research suggests that this is indeed true. Since 1972, companies that pay dividends have returned 9.2% per year versus 6.8% return per year for the S&P 500. That 2.4% difference over the past 26 years is a life changing number. A $10,000 investment at 6.8% for 26 years produces $55,316. At 9.2%, the same original sum is worth $98,580.
Source: Investopedia
Related Articles:
- Dividend Stocks Poised To Beat Inflation
- Is It Time To Sell Long-Bonds?
- Stocks That Pay Monthly Dividends
- When To Sell A Dividend Stock
- My Top 6 Performing Dividend Stocks Just Might Surprise You
Dividend Stocks For The Long-Term
Posted by D4L | Tuesday, July 05, 2011 | 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...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
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...
-
Today we'll talk dividend deals. Big payers. Stocks yielding up to 10.3% and trading for as little as three-times free cash flow (FCF). ...
-
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.