Now that you know the basics, here's what you need to know about
buying a quality dividend stock:
Hopefully, it will just represent a good opportunity to
buy some quality dividend paying companies at lower prices and higher dividend yields!
Not exact matches
«I am a registered investment advisor and focus on
buying high
quality dividend growth stocks to generate safe income for my clients.
An undervalued stock,
quality cash generation and return on cash, and a positive
dividend yield make ORCL a stock to
buy and hold during all market environments.
While the market continues to be volatile I continue to
buy shares of high
quality dividend growth companies.
These are just a few reasons why
buying and holding high -
quality dividend growth stocks is such a great way to think about income, essentially «future - proofing» oneself.
That's because being able to
buy a high -
quality dividend growth stock when it's undervalued confers a lot of benefits to the long - term investor.
Two of them are Coca - Cola and Johnson & Johnson, which have such extraordinary earnings
quality and hedges in place that it is almost certain that someone
buying the stock today will be collecting cash
dividends in 2050.
The big takeaway for those seeking to
buy into market weakness: Be wary of
buying notionally cheap assets that face challenges (e.g. domestically - focused European assets like U.K. real estate and European banks), and instead focus on assets with relatively attractive valuations and positive fundamental drivers, such as
quality stocks,
dividend - growth stocks and investment - grade bonds.
If, instead, you
buy quality undervalued companies, your returns may be greater than the sum of
dividend yield and
dividend growth.
To many
dividend growth investors, that kind of market reaction (or over-reaction) to a high
quality company's short - term financial results can create a
buying opportunity.
I personally believe this is a poor
dividend investing strategy as my goal is always to aim for
quality; it is easier to figure out how to distribute the
dividends across time for myself than to deal with the capital loss of having
bought a company which turns out to be a lemon and cuts its
dividend.
That is, set up your investments for direct withdrawal from your checking or savings account, reinvest
dividends, and focus on only
buying the lowest risk, highest
quality, most attractively valued stocks or index funds such as one based upon the S&P 500.
If you're new to my site, my plan is to
buy and hold high -
quality dividend paying stocks in order to enjoy the flexibility offered by the passive income stream generated by regular
dividend payments to shareholders.
All he did was
buy shares of high -
quality,
dividend - paying companies when they were trading at good prices and then hold them.
For
dividend growth investors, they offer a rare opportunity to
buy shares of a high
quality dividend grower at a bargain price.
You
buy high -
dividend stocks from
quality companies when the S&P 500
dividend yield rises above 4.0 %.
Dividend growth investing is largely a story of
buying high -
quality companies and then exercising patience as you collect more shares.
When you
buy a high -
quality dividend growth stock, the idea is to
buy it once and hold it forever.
I built that portfolio — and went from broke to financially independent in about six years — by
buying up high -
quality dividend growth stocks like those you can find on David Fish's Dividend Champions, Contenders, and Challenge
dividend growth stocks like those you can find on David Fish's
Dividend Champions, Contenders, and Challenge
Dividend Champions, Contenders, and Challengers list.
If you're able to
buy a high -
quality dividend growth stock when it's undervalued (i.e., when its price is below its intrinsic value), this can confer numerous benefits to the long - term investor.
I personally believe this is a poor
dividend investing strategy as my goal is always to aim for
quality; it is easier to figure out how to distribute the
dividends across time for myself than to deal with the capital loss of having
bought a company which turns out to be a lemon and cuts its
dividend.
The effect of
buying high
quality dividend paying stocks has three layers of wealth accumulation baked in:
Later you
buy stocks from high
quality companies when their
dividend yields become high enough.
The
dividend aristocrats list is a great source to begin further research into high
quality investments, or you may prefer to
buy all of these stocks in a basket.
The big takeaway for those seeking to
buy into market weakness: Be wary of
buying notionally cheap assets that face challenges (e.g. domestically - focused European assets like U.K. real estate and European banks), and instead focus on assets with relatively attractive valuations and positive fundamental drivers, such as
quality stocks,
dividend - growth stocks and investment - grade bonds.
At such prices, you should be able to
buy many high
quality (blue chip) stocks at extremely attractive
dividend yields.
Dividend growth investing is largely about
buying and holding high
quality companies, so I exercise great care in deciding what to
buy.
But an intelligent investor will use this to their advantage,
buying up a high -
quality dividend growth stock when it's undervalued (i.e., when a stock's price is well below its intrinsic value).
With all of this in mind, being able to
buy a high -
quality dividend growth stock when it's undervalued can be a compelling and powerful long - term investment opportunity.
Said another way, one should always aim to
buy high -
quality dividend growth stocks when they're undervalued.
You are again
buying stocks at high price, but Telus is a good
quality and
dividend growth stock.
Conclusion: the small dip in
dividend income wasn't a big deal and I'll be looking forward to
buying more
quality stocks out there when they go on sale.
But always keep in mind that when you're investing in a
dividend paying stock, it's more crucial to consider the
quality of the company than the date on which you
buy in.
Our advice to beginning investors is the same as it is for all investors:
buy high -
quality, mostly
dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over... Read More
His advice to beginning investors is the same as it is for all investors:
buy high -
quality, mostly
dividend paying stocks (or ETFs that hold these stocks) and evenly spread your investments over the five main economic sectors (Resources, Manufacturing, Finance, Utilities and Consumer).
Consider
buying the ETF or, if you're up for the challenge of researching individual stocks, use the ETF's underlying holdings as a screened list of high -
quality dividend payers from which to choose.
This
Dividend Aristocrats List is a great source to begin further research into high
quality investments, or you may prefer to
buy all of these stocks in a basket.
Give me a high -
quality dividend growth stock at an attractive valuation and I'm usually going to
buy it, assuming I have the capital available and room in the portfolio for it.
Now visualize
buying a different
quality dividend - growth stock each year to diversify your portfolio.
With this, he would be able to
buy high
dividend stocks from high
quality companies at yields of 6.9 % to 10.4 %.
By
buying quality businesses that pay you growing
dividends, you can build wealth over time.
These are just a few reasons why
buying and holding high -
quality dividend growth stocks is such a great way to think about income, essentially «future - proofing» oneself.
To many
dividend growth investors, that kind of market reaction (or over-reaction) to a high
quality company's short - term financial results can create a
buying opportunity.
Later, you
buy high
dividend stocks from high
quality companies, but only at reasonable prices.
Diversification, investment
quality, and a focus on
dividends are key when you're learning how to start investing in stocks We continue to think investors will profit most — and with the least risk — by
buying shares of well - established companies with strong business prospects and strong positions in healthy industries.
That's because being able to
buy a high -
quality dividend growth stock when it's undervalued confers a lot of benefits to the long - term investor.
My long - term plan is to
buy and hold high -
quality dividend paying stocks in order to enjoy the flexibility offered by the passive income stream generated by regular
dividend payments.
Having said that, I do believe these are all
quality acquisitions, and that these stocks could be good baseline stocks for anyone's
dividend growth portfolio, provided you are a long - term, «
buy and hold» investor.
I
buy high
quality dividend stocks when they trading at attractive valuation.