Numerous research projects have shown, a conservative dividend growth based investment strategy has consistently outperformed the market over time. My goal as a dividend growth investor is to build a steadily increasing income and not necessarily to outperform the market via capital gains. But given the choice, I certainty don’t mind having both.
Fri. Apr. 8, 2011
commentary
6 Dividend Stocks Building Shareholder Returns *
Wed. Apr. 6, 2011
classics, commentary
10 Dividend Stocks With With A 10%+ Dividend Growth Rate *
The difference between an income investor and a dividend growth investor is time and the understanding of how compound growth works. If you are 67 years old and need income today, you will likely select a different group of stocks than an enlightened 27 year old that doesn’t necessarily need the income today. The 27 year old has the the luxury of time to grow a superior yield, while the 67 year old may be forced to assume additional risk to buy a higher current yield. Here are some of the reasons an investor might forgo current yield in hopes of future gain…
Read more…
Fri. Apr. 1, 2011
commentary
1 Company Announced A Higher Dividend, 7 To Pay Higher Dividends in April *
A stock with a high yield doesn’t mean much if the dividend is cut or eliminated, and the stock price declines significantly. Sometimes it is desirable to accept higher risk for a higher yield. Other times we may be accepting higher risk and are not being adequately compensated for the additional risk. One measure of dividend sustainability is the ability of management to consistently raise their dividends each year.
Wed. Mar. 30, 2011
classics, commentary
Why Dividend Stocks Are Evil *
I can’t carry on anymore. The secret has become too much of a burden and it must be shared with the masses. This will shock some and enrage others, but it must be said, and I should be the one to say it. Dividend stocks are evil and they will eventually lead to the collapse of western civilization as we know it. There, I said it and here is why I believe it…
Read more…
Fri. Mar. 25, 2011
commentary
13 Stocks Using Real Cash To Pay Higher Dividends *
We have all heard it… Stodgy, for old people, yawn, boring! These have all been used to describe dividend growth investing. As a dividend growth investor, I sometimes think our strategy is the most misunderstood. It seems everyone understands a traders mentality and a high-yield mentality. Periodically, it is good to remind ourselves that dividend growth provides us with excellent long-term leverage.
Wed. Mar. 23, 2011
classics, commentary
Don’t Touch These 5 Dividend Stocks! *
Has someone near and dear to you responded with a ‘I was only trying to help’ after royally messing something up? Have you ever tinkered with a computer, smart phone or something else only to learn it no longer works and you are not sure how to fix it? Our dividend stock investments can suffer the same fate if we provide them with too much of the wrong type of attention. Here are some things to remember to keep your income investments on the straight and narrow…
Read more…
Fri. Mar. 18, 2011
commentary
12 Confident and Secure Companies Boosting Dividends *
If income investing were as simple as picking the stock with the highest yield, everyone would be an expert. Most assume (rightfully so) that yield is heavily influenced by risk, but much more goes into determining yield. The industry the company operates in, legal considerations (REITs and MLPs), maturity and growth potential all have an effect on an individual stock’s yield, along with the company’s ability to grow its dividend.
Wed. Mar. 16, 2011
classics, commentary
3 Dividend Stocks That I Will NEVER Lose Money On *
Wouldn’t it be nice to buy stocks that only had upside. While we are wishing why don’t we add in predictable earnings, predictable dividends and, of coarse, we don’t want to pay a premium for this investment. Does this sound unrealistic? Possibly, at face value, but there is a way to accomplish this. It won’t happen overnight, but it can be done. Here is how I have been able to do it…
Read more…
Fri. Mar. 11, 2011
commentary
9 Dividend Stocks Sending More Cash To Shareholders *
We all are looking for the perfect dividend stock. In an utopian world, the perfect dividend stock would be one that is both high-yield and provide a high dividend growth rate. Its share price would appreciate ratable with its increasing dividend. All of this would be driven by increasing earnings and cash flow.
15 Dividend Stocks With A 15% Yield In 15 Years *
- Wayne Gretzky
I know very little about hockey, but I have always loved this quote. It can be applied to so many things in life, including investing. Just as Gretzky has a vision as to where the puck is going, investors need to have a similar vision, and not get caught up on short-sighted distractions. Investing in dividend growth stocks requires a long-term vision. It is easy to run a screen and find stocks that are paying a 15% yield today; but how long will they be able to sustain it? Instead you may want to skate to where the future 15% yielders are going to be. To do that, here are some things you need to know…
Read more…