Since I started writing about dividend growth investing, many investors question my choice of adding low yielding dividend stocks to my portfolio. They keep asking “Your dividend yield is too low, why do you pick a 2% dividend yield stock when you can buy shares of companies offering over 5% in yield?” The answer is, it all depends on your investing strategy.
The Growth Addition part of my portfolio has companies that do not meet all of my metrics, but show great upside potential.These shares are meant to be part of my holdings for a shorter period ranging from six months to three years. The goal is to seize an opportunity and cash in the profit quickly. This is when low yield dividend stocks should not be ignored. I currently hold a few low yield dividend stocks in my portfolio: Walt Disney Co (DIS) pays a 1.46% yield, Apple Inc (AAPL) pays 1.87% yield and Canadian National Railway (USA) (CNI) pays 1.82% yield.
Source: InvestorPlace
Related Articles:
- Why Dividend Growth Stocks Are Evil
- Building Yield: 7 Consumer Goods Dividend Stocks
- 9 Higher-Yielding Financial Services Stocks With Rising Dividends
- Dividend Stocks vs. a Safe Distribution Rate
- 12 Under-Valued Dividend Stocks
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
If you’ve been following this column, you’d know that monthly dividend stocks tend to come from two main types of businesses: real estate an...
-
Late last year, Wall Street had a bit of a panic attack when Fed chairman Jerome Powell suggested this tightening was on autopilot. While th...
-
Are you sick and tired of low interest rates? Certificates of deposit pay next to nothing. Bonds yield only three or four percent a year. Su...
-
These three picks are all up more than 10% so far in 2019. The three themes are LNG, specialized healthcare, and small banks. The yields ran...
-
This company makes a compelling value proposition on the dip for DGI investors. The REIT has strong portfolio stats and a conservative AFFO-...
-
Stocks with high dividend yields can be great, but if a stock has a high dividend yield and also has lots of long-term growth potential and ...
-
Showing resilience during a tough week was a group of stocks that has not been heard from much in the past two years. A group that has been ...
-
This company makes a compelling value proposition based on valuation, risk/reward, yield, and upside potential. I added this hotel REIT las...
-
At its opening price of $101 per share on Jan. 7, MSFT stock had a market cap of $782 billion, which made it the most valuable company in th...
-
Before the painful fourth-quarter stock market decline, steady dividend payers probably weren’t foremost in many investors’ minds. After all...
0 comments
Post a Comment
Post a Comment