Smart Investors Buy Dividend Stocks

Dividend stocks are not cool. They are not exciting. And they do not make for good conversation topics at parties. They're like the trombone player from high school who never had a date to prom. In fact, come to think of it, the only thing dividend stocks are good for is making money. And potentially lots of it. So if you're not interested in making money, then proceed no further. There's nothing glamorous to see here. But if you clicked on this article because you're greedy and want to get rich from investing.

If you take only two things away from this article, make it these principles. First, stocks that pay higher dividends have historically outperformed stocks that pay lower dividends. Second, companies that pay more in dividends typically tend to experience higher earnings growth in the future.

Source: Motley Fool

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