The Big Book of Bad Investing Advice has many all-time greats, such as “Stocks have reached what looks like a permanently high plateau,” uttered in 1929 by Irving Fisher, a good economist with wretched timing. Probably the worst investment advice — after “Put all your money into Pets.com” — is “Dividends don’t matter.” They do. And even if some dividend-paying stocks are expensive, there are plenty that still represent good value.
Dividends are cash payouts from a company’s earnings. Throughout most of the 19th century, the dividend was considered the main reason to buy a stock. And even in the 20th and 21st centuries, dividends have been an enormous source of total returns from stocks. If you’re looking for dividend-paying stocks, these two rules of thumb will help: 1. High yield isn’t such a good thing, 2. Dividend hikes are good things.
Source: Courier-Journal.com
Related Articles:
- 8 Dividend Stocks To Consider While Waiting on Apple to Pay Its First Dividend
- Holding Bonds Could Push Your Portfolio Into The High Risk Category
- Love People, Use Dividend Stocks
- The 2012 Dividend Achievers
- Why Dividends Matter
What's So Great About Dividends?
Posted by D4L | Wednesday, April 04, 2012 | 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...
-
Boring stocks to buy and hold almost always align with deeply established businesses. While they won’t offer the outstanding growth potentia...
-
The quick rise in interest rates over the past year turned investor sentiment toward REITs negative. Higher interest rates make it harder fo...
-
Indeed, with recession on the horizon, investors are increasingly emphasizing quality, safety and dividends in their portfolio selections. W...
-
Linked here is a detailed quantitative analysis of Texas Instruments Inc. (TXN). Below are some highlights from the above linked analysis: C...
-
Verizon (VZ -1.75%) pays one of the biggest dividends in the S&P 500. The telecom giant currently yields 6.5%. That's one of the top...
-
A great year for dividend growth stocks is one in which there are few dividend cuts and fewer companies that failed to raise their dividends...
-
Countless people dream of being able to pay their bills with the cash they receive from their investments. But it doesn't have to be jus...
-
Cash is king when you’re looking to add dividend stocks to your portfolio There’s ample reason for caution. In case you haven’t noticed, a l...
-
Dividend-paying stocks from low-risk, high-quality companies are a smart way to generate steady and reliable attractive income streams to re...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.