Here's a litmus test for stocks that I picked up from a Warren Buffett quote. Say you knew that the day after you bought shares of a company, the stock market would close for five years, so no matter what happens, you're stuck. Would you still invest?
While I think this test applies to all stocks, I find it especially useful when seeking out dividends. If you're relying on dividend reinvestment to boost your returns then you want to find companies that will keep paying for years to come -- preferably decades -- so compound interest will have time to work its magic.
Source: Motley Fool
Related Articles:
- Top 10 Articles For 2010
- Dividend Stocks vs. a Safe Distribution Rate
- Best Stocks for 2011
- The 2011 Dividend Aristocrats
- 13 Dividend Stocks With A Good Yield/Growth Mix
Dividend Growth Stocks News
- Prediction: 5 Dividend Stocks That Could Crush the S&P 500 Over the Next 10 Years - MSN - 5/21/2025
- Prediction: These 3 Monster Dividend Stocks Will Continue Crushing the S&P 500 Beyond 2025 - The Globe and Mail - 5/21/2025
- 9 Cheap Dividend Stocks (All Under $11) - MSN - 5/21/2025
- 5 Top Dividend Stocks Yielding Over 5% to Buy for Passive Income - MSN - 5/21/2025
- 3 Dividend Stocks With Yields From 3.2% To 4.9% - Yahoo Finance - 5/21/2025
- Automatic Data Processing Inc. (ADP) Dividend Stock Analysis - 5/16/2025
- Air Products and Chemicals Inc. (APD) Dividend Stock Analysis - 5/9/2025
- Waste Management, Inc. (WM) Dividend Stock Analysis - 5/2/2025
- Wal-Mart Stores, Inc. (WMT) Dividend Stock Analysis - 4/25/2025
- Abbott Laboratories (ABT) Dividend Stock Analysis - 4/18/2025
________________________________________________________________
Subscribe to:
Post Comments (Atom)
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.