It's been proved time and time again that buying for the long haul outperforms short-term investing. It's also been shown that investing in dividend-paying stocks can produce higher returns than investing in non-dividend-paying stocks. However, not all dividend-paying stocks are created equal. For instance, here are two dividend stocks that I think are worth avoiding and one that I think can be owned for the long haul.
Patent expiration will remain the biggest risk to dividend-paying stocks in healthcare, and that's particularly true for PDL Biopharma's (NASDAQ: PDLI) and Amgen's (NASDAQ: AMGN). Both of those companies are taking steps to ensure that sales growth doesn't sputter and put dividend payouts in jeopardy. But neither offers the kind of clarity that most dividend investors require to make them part of an income portfolio. That suggests that a better bet is to own Gilead Sciences (NASDAQ: GILD). Gilead Sciences' top sellers have plenty of patent protection, and it has a rock-solid balance sheet that could mean its dividend is both safe and likely to grow.
Source: Motley Fool
Related Articles:
- Are Defense Stocks Good Defensive Stocks?
- International Securities For A Diversified Income Portfolio
- 5 Dividend Stocks That Gave Me A 20%+ Annualized Return
- 6 Rainy Day Dividend Stocks
- When A Stock Fails To Raise Its Dividend: Is It Time To Sell Intel?
Dividend Stocks: 2 to Avoid, 1 to Buy
Posted by D4L | Sunday, April 19, 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...
-
Investors wanting to enjoy steady and consistent income should consider dividend aristocrats. In fact, even in these chaotic times, dividend...
-
A select group of monthly dividend stocks pays dividends at a rate of 10% or higher. Those are the ones on this list. Investors should be aw...
-
Higher dividend yields often imply that the underlying company paying the dividend has a higher risk profile. However, that's not always...
-
Dividends and diversification -- those two things can help you achieve a comfortable retirement when combined with the income you will recei...
-
It's hard to beat a sustainable, high-yield dividend paired with a beaten-down valuation. The best dividend stocks offer high yields and...
-
How high is too high when it comes to dividend stocks? Of course, every income investor wants as much yield as possible. However, they also ...
-
When hunting for discounted investments, one excellent starting point is to look for businesses with dividend yields trading above their fiv...
-
Strange but true: seniors fear death less than running out of money in retirement. And unfortunately, even retirees who have built a nest eg...
-
While there’s nothing quite as exciting as betting everything on a hot growth enterprise, prudent investors may want to consider the best di...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.