New Info! Dividends Actually ARE Free Money?
- Dividend Investor
- January 11, 2025
Investing in dividend stocks or funds is a passive income strategy. But, you’ll want to check out the company’s financial history and dividend coverage ratio before investing. The ratio compares earnings or cash flows to dividend payments, gauging the ability of companies to support those payouts. And be careful of chasing yield: selecting stocks based […]
Read MoreWhich of My Dividend Stocks are CHEAP Jan 2025?
- Dividend Investor
- January 4, 2025
A dividend is a portion of a company’s profits that it shares with shareholders. These payments can be automatically rolled into more shares through a dividend reinvestment plan, which can accelerate growth by compounding returns over time. Investors seeking passive income investing can seek out companies that consistently grow their dividend per share. That can […]
Read MoreSCHD Mistakes People Make
- Dividend Investor
- December 21, 2024
When shopping for dividend stocks, it’s important to consider stability along with yield. High-yielding stocks may not be able to sustain their payouts without cutting or borrowing money. Instead, focus on companies with a consistent track record of raising their dividends. This reflects healthy financials and long-term potential.
Read More2 Dividend ETFs for Growth and Income?
- Dividend Investor
- December 14, 2024
Investing in dividend stocks can help support a portfolio’s income, but it’s important to avoid high yields that look too good to be true. The best way to evaluate a stock’s yield is to study its historical payout ratio and financial profile.
Read MoreWhy Your Dividend Snowball Isn’t Growing Faster
- Dividend Investor
- December 7, 2024
Investing in dividend-paying stocks or ETFs can provide passive income, even when the market is rife with volatility. However, it’s important to assess the underlying financial health of companies that pay dividends. A high payout ratio can flag a company that is sacrificing future growth in order to send dividend payments to investors. Focus on […]
Read MoreMy $3,296,000 Dividend Portfolio $131,300 Per Year
- Dividend Investor
- November 30, 2024
Many investors are drawn to dividend investing as a way to create passive income. But it’s important not to prioritize yield at the expense of long-term total return. Choosing companies with stable financials, steady earnings and a track record of weathering economic downturns is key. And the best dividend investments grow their payouts through the […]
Read MoreDividends vs Bonds… Who Wins?
- Dividend Investor
- November 24, 2024
Dividend investing can be a great strategy for passive income. However, investors must avoid chasing yield at the expense of long-term total return. Chasing yield can lead to “dividend traps,” companies with impressive dividend yields but unsustainable payouts. It also puts your earnings at risk of being cut or suspended during financial distress.
Read MoreDividends vs Bonds… Who Wins?
- Dividend Investor
- November 23, 2024
Dividend investing can be a great passive income strategy. Just make sure that you’re looking for a company with a healthy dividend payout ratio (a ratio of earnings to dividends) and a profile focused on a growing industry. This means avoiding companies with an excessively high yield, which can be a warning sign that the […]
Read MoreI’m a Retiree: 9 Things I Wish I’d Known About Dividends Earlier
- Dividend Investor
- November 16, 2024
Passive income investing dividend is a popular strategy that helps diversify and supplement retirement income. But you need to focus on the financial health of companies that pay dividends. Be wary of high payout ratios. They suggest the company could cut its dividends if earnings fall.
Read More6 Stages of Retirement Preparation
- Dividend Investor
- November 9, 2024
Passive income investing dividend can be an effective strategy to reach financial goals and reduce the volatility of an overall portfolio. However, investors should be wary of chasing a high yield that may prove to be unsustainable. Investors should study a company’s history of dividend payments and profitability metrics, along with their balance sheet and […]
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