Dividends4Life: Is Your Dividend Safe From Coronavirus? S&P 500 Dividends At Risk

The coronavirus scare is already slashing the value of your S&P 500 portfolio. But a new hit might be coming: Dividend cuts. Payout reductions loom for dividend stocks, threatening a decade-long cash bonanza worth nearly $500 billion just last year. Profit growth may shrink due to the coronavirus stock market slump in the first quarter, and maybe longer. Suddenly some rich dividends S&P 500 companies are paying become less affordable.

S&P 500 companies are loath to cut dividends. Doing so is not taken lightly, despite the coronavirus stock market slump. More than 80% of S&P 500 companies pay a dividend. S&P 500 dividends have only been cut eight times since 2014, S&P Dow Jones Indices says. No cuts happened in 2019 or 2018.

Source: Investors.com

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