Having an income stream from your investments is nice, but creating real wealth requires that income stream to grow over time. Past performance is not a perfect indicator of how a stock will behave in the future, but history has shown that stocks with regularly rising dividends tend to continue that trend. You can find many such stocks on Dividend.com, which maintains lists of all publicly traded stocks that have raised their dividends for at least 10 years in a row -- or even 25 years.
Before you buy a stock for the long run, check to see how it performs during the bad years. One of the best practitioners of this is Warren Buffett. Buffett freely admits to his shareholders that he's unlikely to beat the market in years when the S&P jumps higher. In fact, Berkshire Hathaway has underperformed the S&P in four out of the last five years as the market has soared from the 2009 lows. However, consider 2008, when much of the market was in free fall. The S&P 500 lost 37% of its value that year. And while Berkshire didn’t have its best year on record, it did manage to beat the market.
Source: Motley Fool
Related Articles:
- 9 High-Yielding Utilities With A Growing Dividends
- My 5 Largest Dividend Stock Positions Have Double-Digit Lifetime Returns
- The Best Dividend Stocks In The World
- 12 Dividend Stocks With 50+ Years of Consecutive Increases
- 8 Dividend Stocks With A 15% Yield In 15 Years
How to Buy Stocks That Will Make You Rich
Posted by D4L | Monday, July 07, 2014 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
The best dividend stock nobody is talking about is an undervalued, high-dividend chemical company poised to grow at an exponential rate. Wit...
-
If any investor has stood the test of time, it is Warren Buffett. For years, the “Oracle of Omaha” has had a rock-star-like presence in the ...
-
Last week, we found out that the consumer price index (CPI) went up by 8.3% in April, more than the 8.1% estimate. Meanwhile, the ongoing wa...
-
A full-blown recession, or the late-year rally in Wilson’s view – the natural move for investors will be toward defensive stocks, moves to p...
-
The Dividend Kings, which are those stocks with at least 50 years of dividend growth, is an excellent place to find high quality names. Ther...
-
If any investor has stood the test of time, it is Warren Buffett, and with good reason. For years, the “Oracle of Omaha” has had a rock-star...
-
When a retailer has a sale, it's often celebrated with banners, signs, and commercials telling customers not to miss out on the spectacu...
-
Mid-cap dividend stocks are the best bargain on the board right now. I love them because lame income investors don’t consider them. They fix...
-
When shares trade at a 40% discount to book value, they should have substantial flaws. This REIT isn’t perfect, but it deserves a higher rat...
-
5 big yields, all with upside. But I've got 1 more share to mention. With most of the earnings releases out, the charts are updated to s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.