Dividends4Life: Higher Yields May Be A Warning Of Trouble Ahead

Dividend Growth Stocks News

While high dividend yields can be attractive, that shouldn’t be the only thing you’re looking for when picking stocks. With some companies, a high dividend yield isn’t always a good thing: Sometimes a high yield is actually caused by a drop in stock price. (In the case of CTL, after the plunge, the dividend yield rose from 6.9% to over 9%).

Moving beyond the yield and current dividend payment, you want to look at the company as a whole and its history of dividend payments. Consistent and steadily increasing payments are a prime sign of a strong company that makes dividends work for you.

Source: InvestorPlace

Related Articles:
- 6 Healthcare Dividend Stocks For A Healthy Portfolio
- 11 Low-Debt, Higher-Yielding Dividend Stocks
- 7 Small-Cap, High-Yield Dividend Stocks
- 10 High-Energy, High-Yield Dividend Stocks
- 12 Dividend Stocks For A Powerful Income Stream

________________________________________________________________

0 comments

Post a Comment

Note: Only a member of this blog may post a comment.