Dividend-Payers vs. the S&P 500

Dividend-paying companies can be among the most reliable stock investment choices. This is because dividend-paying companies provide cash to their investors on a regular basis, and usually these cash payouts grow each year as the business grows. In addition, dividend-paying companies are often basic and necessary. Johnson and Johnson (JNJ) provides healthcare products, Procter and Gamble (PG) provides useful consumer products like razors, and Smuckers (SJM) provides jelly, jam, peanut butter, and other foods. During this past decade, the S&P 500, which is an index of some of the most profitable companies in the US, has not provided investors with any returns. It has been a “lost decade” for investors. On the other hand, companies like JNJ, PG, and SJM have continued to provide shareholders with a return on their investment.... Read more