Dividends can have a huge impact on investor returns over the long term, so dividend-paying stocks have increasingly become mainstays in investment portfolios. However, not all dividend stocks are created equal, especially when considering companies with high-yield dividends. Sometimes those payouts just aren't sustainable, which can make investing in companies like these two a bit more risky.
Dan Caplinger: One dividend stock that I'm particularly worried about is Transocean (NYSE: RIG), which on a trailing basis now has the highest yield of any stock in the S&P 500. Leo Sun: Windstream Holdings (NASDAQ: WIN) provides network services to U.S. businesses and is the eighth-largest residential telephone provider in the nation. Simply put, huge payout ratios, weak earnings, and an unexpected CEO departure are bright red flags indicating that additional dividend cuts could be right around the corner.
Source: Motley Fool
Related Articles:
- 12 High-Yield Managed Distribution Policy Funds
- 6 High-Yielding Mega-Cap Stocks
- Dividend Investors Should Focus On Stocks, Not The Market
- The Secret Ingredient of Dividend Growth Stocks
- Stocks Providing Positive Feedback With Increased Dividends
A Reduced Payout Could Be in the Cards for These High-Yield Dividend Stocks
Posted by D4L | Wednesday, February 04, 2015 | 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...
-
We decided to go on a hunt for quality stocks that for one reason or another have been buried, and not just this year. We found three incred...
-
Essentially, we’re looking for more Apples – tech firms with a large market cap (at least $1-billion) and the financial means necessary to p...
-
Long-term investors know that dividends can have a major impact on returns over time. When the stock market is struggling to make gains like...
-
Buy and hold ... forever? It's a tall order, but a select few companies are potentially up to the task. You can build a wealth-compoundi...
-
Does the high interest rate environment we're living in have you feeling down? Here's something to remember that can help you turn t...
-
Dividend stocks can be consistent market-beaters. However, empirical research shows that the best dividend stocks tend to generate better-th...
-
High-quality dividend stocks are always worth loading up on. This is doubly true for companies that offer shareholders an attractive mix of ...
-
For this list, we looked at stocks that pay monthly dividends. Among them, we chose stocks with the highest dividend yields, which range fro...
-
Every investor wants to earn more. It is how we define "more" and how we go about earning it that defines the type of investor we ...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.