What is it about dividend-paying companies that makes them so attractive to the long-term and retired investor? To begin with, dividends act as a beacon that lets investors and retirees know that a company's business model is so fundamentally sound today that it can afford to share a percentage of profits with its shareholders. Secondly, dividends help ease the pain during stock market corrections and bear markets. They don't erase the red arrows, but they certainly help hedge your losses a bit. Finally, and most importantly, dividends can be reinvested back into more shares of stock, allowing your position and future dividends to compound. This last point is where substantial wealth can be created over time.
Let's have a look at which five companies make the cut: The technology sector isn't known for its dividends, but Seagate Technology (NASDAQ:STX) is among the best exceptions. GlaxoSmithKline (NYSE:GSK) hasn't had the easiest go of things over the past couple of years due to the imminent emergence of a generic version of inhaled COPD and asthma blockbuster Advair. Up next, we'll look at a company that's been driving over the competition: General Motors (NYSE:GM). Annaly Capital Management (NYSE:NLY) may take a lot of flak as a mortgage real estate investment trust (mREIT), but it's been among the highest-yielding dividend stocks over the past decade, and it's likely to remain so moving forward. Last, but not least, we have Holly Energy Partners (NYSE:HEP), a midstream oil transportation, terminaling, and storage company, which also happens to be a subsidiary of HollyFrontier.
Source: Motley Fool
Related Articles:
- Warren Buffett's Secret To 50% Returns
- 7 Undervalued, Big-Name Stocks To Consider For Your Dividend Portfolio
- 7 High-Yield Energy Stocks Growing Their Dividends
- 5 Dividend Stocks In Need Of A Market Correction
- 10 Dividend Stocks Building A Growing Cash Stream
This Diverse Income Portfolio Sports an Average Dividend Yield of 7.5%
Posted by D4L | Monday, March 28, 2016 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
At times like this, it is tempting to jump on a bandwagon and buy up the growth stocks, aiming to capitalize on the broader trends. But is t...
-
In today’s near-zero interest rate environment, it’s been tough for investors looking for yield. There are many high-yielding dividend stock...
-
There are some dividend aristocrats which have not only maintained but increased their dividends for over half a century. Having survived ev...
-
Three high dividend stocks to buy now feature a business development company (BDC), a national real estate investment trust (REIT) and the o...
-
The research analysts at Wells Fargo have been searching the markets for the ‘right’ buys, and their picks bear a closer look. They’ve been ...
-
This past year has been the ultimate stress test for dividend stocks. Some companies failed miserably as they either slashed or suspended th...
-
Dividend stocks are a great choice for investors looking for a regular income stream. The best dividend stocks offer a growing payout in add...
-
The dividend-paying cleaning stocks to buy now amid the COVID-19 pandemic should benefit from heightened sanitary expectations by consumers ...
-
Rather than subject themselves to this risk, savvy investors can stabilize their portfolios by taking positions in reliable dividend growth ...
-
The best dividend stocks can generate excellent long-term returns. Even better, investors can buy high-quality dividend stocks when they are...

0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.