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:

  1. Invest mainly in well-established companies;
  2. Spread your money out across most if not all of the five main economic sectors (Manufacturing & Industry; Resources & Commodities; Consumer; Finance; Utilities);
  3. 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!

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TENNANT CO. $63 is a hold. The company (New York symbol TNC; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 18.6 million; Market cap: $1.2 billion; Price-to-sales ratio: 1.1; Dividend yield: 1.7%; TSINetwork Rating: Average; www.tennantco.com) makes industrial floor and street-cleaning equipment, including scrubbers, sweepers and polishers.


In the quarter ended September 30, 2022, sales fell 3.3%, to $262.9 million from $272.0 million a year earlier....

YUM CHINA HOLDINGS INC. $52 is a buy for aggressive investors. The company (New York symbol YUMC; Consumer Sector; Shares outstanding: 421.4 million; Market cap: $21.9 billion; Price-to-sales ratio: 2.3; Dividend yield: 0.9%; TSINetwork Rating: Average; www.yumchina.com) is China’s largest fast-food operator with 12,409 outlets, mainly under the KFC and Pizza Hut banners.


Despite COVID-19 lockdowns in China, the company’s sales in the quarter ended September 30, 2022, rose 5.1%, to $2.68 billion from $2.55 billion a year earlier....

These two utilities are down slightly since the start of 2022. That’s mainly because rising interest rates diminish the appeal of high-yielding stocks as investors shift to high-yielding, and more stable, bonds. Moreover, higher rates also add to interest costs for utilities....
SONY GROUP CORP. ADRs $82 is a hold. The Japanese conglomerate (New York symbol SONY; Conservative Growth Portfolio, Manufacturing & Industry sector; ADRs outstanding: 1.3 billion; Market cap: $106.6 billion; Price-to-sales ratio: 1.3; Dividend yield: 0.3%; TSINetwork Rating: Average; www.sony.com) reported 9.1% higher sales in its fiscal 2023 second quarter, ended September 30, 2022, to $19.19 billion from $18.25 billion a year earlier....
Thanks to a better supply of computer chips, controlling a variety of vehicle functions such as power steering and braking, Toyota and Honda are once again increasing their production. They are also benefitting from the low value of the Japanese yen, which makes their products more affordable in other countries....
GENERAL ELECTRIC CO. $88 remains a hold. The conglomerate (New York symbol GE; Conservative Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 1.1 billion; Market cap: $96.8 billion; Price-to-sales ratio: 1.3; Dividend yield: 0.4%; TSINetwork Rating: Average; www.ge.com) plans to break itself up into three separate companies: GE HealthCare (X-ray equipment, MRI and ultrasound scanners); GE Vernova (renewable energy and power); and GE Aerospace (jet engines and aircraft electronics)....
FEDEX CORP. $176 is still a buy for long-term gains. The company (New York symbol FDX; Aggressive Growth Portfolio, Consumer sector; Shares outstanding: 260.2 million; Market cap: $45.8 billion; Price-to-sales ratio: 0.5; Dividend yield: 2.6%; TSINetwork Rating: Average; www.fedex.com) delivers packages and documents in the U.S....

These three leading foodmakers continue to post strong sales gains, mainly because they are increasing their selling prices as they cope with higher costs for ingredients, labour and fuel.


So far, thanks to their strong brands, the higher prices have not significantly hurt their volumes....
KEYSIGHT TECHNOLOGIES INC. $176 is a buy for aggressive investors. The company (New York symbol KEYS; Aggressive Growth Portfolio, Manufacturing & Industry sector; Shares outstanding: 178.5 million; Market cap: $31.4 billion; Price-to-sales ratio: 5.9; No dividend paid; TSINetwork Rating: Average; www.keysight.com) makes an array of devices for testing electronic equipment.


Keysight’s revenue in its fiscal 2022 fourth quarter, ended October 31, 2022, rose 11.5%, to $1.44 billion from $1.29 billion a year earlier, on rising demand from makers of computer chips, automobiles and high-speed telecommunications equipment....
Chevron rebounded strongly as re-opening of the global economy lifted crude oil prices—the stock is up 62% in the past year compared to the 14% drop for the S&P 500 Index.


While oil prices could suffer if the economy weakens, higher profits from Chevron’s refining operations (which need crude oil) would help offset that decline....