Most investors can't deny the appeal of a solid dividend stock, but retirees have a particular affinity for them. And that's for good reason. Dividend stocks tend to be more stable and reliable, and also provide actual income, which is a crucial consideration when investing in retirement. However, not every dividend stock is a good fit for retirees. In fact, our contributors believe investors should avoid Vector Group (NYSE: VGR), Cal-Maine Foods (NASDAQ: CALM), and McDonald's (NYSE: MCD) in their retirement period.
Vector Group’s payout is simply unsustainable. Over the past twelve months, Vector has paid out $182 million in dividends. Cal-Maine differs from most companies in that rather than committing to a set quarterly dividend payment, the egg producer ties its payout each quarter to its earnings level under generally accepted accounting principles, with investors receiving one-third of GAAP earnings. McDonald's has a solid trajectory of dividend growth, with 38 consecutive years of consistent payout increases under its belt. However, I would still stay away from the fast-food giant until -- or unless -- management proves that it can reverse the decline in sales.
Source: Motley Fool
Related Articles:
- 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?
- 4 Dividend Stocks For A Confident And Secure Future
- High-Yield, High-Return Investments To Increase Income While Waiting On Dividend Growth
3 Dividend Stocks Retirees Should Avoid
Posted by D4L | Thursday, July 09, 2015 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
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...
-
When a company pays a dividend, it's a good thing for shareholders. When a company consistently pays a dividend every quarter, it's ...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
My top financial goal is to eventually become financially independent. The foundation of my strategy is to make investments that produce an ...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.