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!
These two utilities stocks are down this past year, as high interest rates hurt investors’ demand for high-yielding dividend stocks. While both stand to gain as it looks like rates will come down later this year, we feel Alliant is the better choice for your new buying due to its lower reliance on coal....
WARNER BROS. DISCOVERY INC. $7.66 is still a hold. The company (Nasdaq symbol WBD; Aggressive Growth Portfolio; Consumer sector; Shares outstanding: 2.4 billion; Market cap: $18.4 billion; Price-to-sales ratio: 0.5; No dividend paid; TSINetwork Rating: Average; www.wbd.com) took its current form in April 2022 when AT&T merged its WarnerMedia business with Discovery Inc....
The company has agreed to settle charges by European Union antitrust regulators that it illegally forced retailers to buy its products from local distributors instead of getting them at cheaper prices from other EU countries.
As a result, Mondelez will pay $366 million, which is equal to 28% of the $1.29 billion, or $0.95 a share, that it earned in the first quarter of 2024.
The settlement helps cut the company’s risk....
We continue to recommend investors diversify their Finance sector holdings with non-bank stocks. Here are three stocks that dominate their niche markets, which helps cut your risk. What’s more, they are incorporating artificial intelligence (AI) technology to improve the performance of their products and services....
That impressive climb reflects two main factors. First, the company pivoted from selling its software as a one-time purchase to a cloud-based subscription model on its Azure platform....