The difference is that top -
quality stocks tend to recover faster and eventually go on to new highs.
Not exact matches
For example,
stocks of companies that generate superior profits, strong balance sheets, and stable cash flows would be considered high -
quality, and have
tended to outperform the market over time.
In contrast, dividend growth
stocks, primarily from cyclical sectors like technology,
tend to be higher
quality and less expensive than those higher yielders.
Downside protection — high -
quality bonds have
tended to outperform the
stock market during downturns, when many investors are attracted to a bond fund's income stream and principal protection
«And in the context of a falling oil price, it is precisely these kinds of high -
quality defensive energy
stocks that
tend to outperform.»
The appeal increases when you consider that dividend - growth companies
tend to be of higher
quality and lower volatility than the broader
stock market.
Never - married people
tended to put more
stock in
qualities such as enjoying how they feel around a partner, a partner's physical appearance, and a partner's personality.
Quality companies
tend to be stable, and by extension their
stocks less volatile.
In our paper «A Case for Dividend Growth Strategies,» we compared dividend growth strategies to high - dividend - yielding strategies and concluded that dividend growers, which
tend to be higher
quality companies, have generally shown greater resilience in unsteady markets and could address concerns about dividend
stocks in a rising - rate environment, to some extent.
«Dividend growth
stocks tend to be of higher
quality than those of the broader market in terms of earnings
quality,» write S&P strategists Tianyin Cheng and Vinit Srivastava.
With
stocks markets around the globe, you may face, apart from language barriers, uncertain investor - protection laws, and in some cases a less pronounced commitment to openness, fairness and other
qualities we
tend to take for granted in established markets.
In contrast, dividend growth
stocks, primarily from cyclical sectors like technology,
tend to be higher
quality and less expensive than those higher yielders.
The appeal increases when you consider that dividend - growth companies
tend to be of higher
quality and lower volatility than the broader
stock market.
These
quality stocks with a consistently growing dividend stream also
tend to be more resilient in bumpy and down markets.
The key to understand why the studies have shown inconsistent results is that small
stocks tend to be loaded with junk companies, while large
stocks tend to be primarily
quality companies.
Yields in fixed income remain historically low, while within the equity space, existing high dividend strategies
tend to tilt toward low growth sectors or poor
quality stocks.
Downside protection — high -
quality bonds have
tended to outperform the
stock market during downturns, when many investors are attracted to a bond fund's income stream and principal protection
There is no systematic style bias although low
quality stocks will
tend to be avoided.
Take
quality, which can be used tactically late in the economic cycle when earnings are typically deteriorating and financial healthy
stocks tend to be in particular favor.
While a basket of dividend aristocrat
stocks may not bring you the highest yield, it does bring high
quality businesses that
tend to be safe investments.
Nice buy, I am rather surprised that MSFT's div yield is so high considering the
quality of the
stock and how so many other tech companies
tend to have very low yields.
A friendly reminder: When things really go sideways in the
stock market, US Treasuries
tend to get a big «flight - to -
quality» bump.
It also aims for companies that have reasonable earnings
quality, reviewing a number of accounting summary measures that
tend to correlate with good
stock performance.
High -
quality dividend growth
stocks tend to command premium valuations.
I invest in high -
quality dividend growth
stocks because growing dividends
tend to be a great initial litmus test for the
quality of a business.
High
quality firms
tend to trade at premium prices, so value strategies that trade on
quality signals (i.e.,
quality strategies) hold very different
stocks than value strategies that trade on price signals.