dividend
A dividend is a cash payout that serves as a way for companies to share the profits they’ve accumulated through their operations. These payouts are drawn from earnings and cash flow paid to the shareholders of the company. Commonly these dividends are paid quarterly, although they may also be paid annually or even monthly as well. A dividend can produce as much as a quarter of your total return over long periods. Some good companies reinvest profits instead of paying a dividend. But fraudulent and failing companies hardly ever pay a dividend. So if you only buy stocks that pay dividends, you’ll automatically stay out of almost all the market’s worst stocks. For a true measure of stability, focus on companies that have maintained or raised their dividends during recessions and stock market downturns. These firms leave themselves enough room to handle periods of earnings volatility. By continually rewarding investors, and retaining enough cash to finance their businesses, they provide an attractive mix of safety, income and growth. Dividends are an important contributor to your long-term gains, and dividend-paying stocks tend to expose you to less risk than non-dividend-payers. That’s why the majority of your stocks should be dividend-payers at all times. As you get older and closer to retirement, you should raise the proportion of dividend-paying stocks in your portfolio, to cut risk and improve the stability of your investment results. To maximize your investment returns with the least risk, follow TSI Network and use our three-part Successful Investor strategy:
- Invest mainly in well-established companies;
- Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
- Downplay or avoid stocks in the broker/media limelight.
Discover how to put an extra strength in your portfolio with our specific advice on how to identify high-quality dividend stocks. It’s all in our newly updated report, Dividend Paying Stocks: How High Dividend Stocks Can Supercharge Your Income Investing. And it’s yours FREE!
APA CORP....
The impressive rise is partly due to pressure from an activist investor who prompted the company to adjust its spending on new chip plants....
We expect Metro will continue to move up in the years ahead, thanks in part to improving efficiency.
Retailers typically operate on low margins, so even small cost savings can have a big impact on profits....
Mastercard makes money from every transaction it processes for Mastercard-branded credit cards, both domestically and cross-border....
The company is the world’s largest computer software firm. Its main product is the Windows operating system, which powers about 85% of the world’s personal computers....
TC generates steady cash flow for investors mainly through a 93,300-kilometre pipeline network that pumps natural gas from Alberta to eastern Canada and the U.S. Its other operations include 4,900 kilometres of crude oil pipelines and seven power plants.
On October 1, 2024, the company will complete the spinoff of its oil pipeline business as separate company South Bow Corp....
The company is Canada’s largest traditional telephone service provider. It has 1.92 million residential customers in Ontario, Quebec, Manitoba and the Atlantic provinces....