How to Choose the Best Dividend Stocks

With many aspects to consider, which types of equities do ultimately qualify as the best dividend stocks? Based on the information offered above, equities that offer high-yield and steadily rising qualified cash dividends with a 30% to 50% payout ratio and rising share prices should be on the top of every investor’s list of the best dividend stocks. Unfortunately, very rarely—if ever—will a single equity offer all these characteristics at the same time.

Therefore, just like investors diversify their portfolio across asset classes and industry sectors, every investor’s best dividend stocks will be a diverse group of equities that meet that specific portfolio’s long-term strategic goals. This article offers some basics to help identify the types of equities that have the potential to become the best dividend stocks over extended time horizons.

Source: Dividend Investor

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