There are several rules of thumb when it comes to picking out the best investments for retirees. Dividend stocks are popular investments for retirees because of the power of dividend compounding over time. In addition, dividend stocks are typically blue-chip companies with solid cash flows and long track records of strong performance. It’s certainly not bad advice to recommend a retiree buy stocks in companies with recognizable brands and high dividend yields. Unfortunately, there are exceptions to every rule of thumb, and dividends aren’t necessarily guaranteed.
Not only have investors been denied the dividend yield they thought they were getting, but stocks in danger of dividend cuts tend to underperform in the market as well. Retirees should look deeper than a stock’s dividend yield before investing for the long-term. With that in mind, here’s a look at three recognizable dividend stocks retirees should avoid at all costs: Abercrombie & Fitch Co. (ANF), Staples, Inc. (SPLS) and Barnes & Noble, Inc. (BKS).
Source: Kiplinger
Related Articles:
- 4 Secrets To Finding The Best Dividend Stocks
- What Determines A Dividend Stock's Yield
- 7 Dividend Stocks Yielding Over 3%, With Tiny Payout Ratios
- Warren Buffett's Secret To 50% Returns
- 7 Undervalued, Big-Name Stocks To Consider For Your Dividend Portfolio
________________________________________________________________
Subscribe to:
Post Comments (Atom)
Popular Posts Last 30 Days
-
Strange but true: seniors fear death less than running out of money in retirement. So what's a retiree to do? You could cut your expense...
-
If you're anticipating a long retirement, you'll want to remain invested in stocks to give your money a chance of outpacing inflatio...
-
If I could teach investors one thing, it would be how to identify and value “Forever Assets.” These businesses constitute the single best wa...
-
When writing this article, I was looking for an ideal list of dividend-paying stocks that consistently raise their dividends each year. In a...
-
One way to identify suitable candidates is to look for stocks with an average dividend yield of 3%, and positive average annual dividend gro...
-
Exxon Mobil Corporation (NYSE:XOM) stock is trading at the same level as it was during the beginning of 2019. Even with company-specific pos...
-
Dividends are profit sharing payments sent out to stockholders. Companies have a variety of reasons for paying them, ranging from simply swe...
-
Dividend-paying stocks from generally low-risk, top notch companies are a brilliant way to create steady and solid income streams to supplan...
-
All bull markets come to an end, and this past decade has been a remarkable one for investors who've escaped largely unscathed from any ...
-
One of the most exciting things about many dividend stocks is that they not only pay regular dividends, but also increase those dividends on...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.