The Best of the High-Yield Dividend Aristocrats
Dividend-paying companies are an oasis in the desert of underperforming stocks. They offer solid payouts today and the promise of capital gains tomorrow. According to a study by Ibbotson, reinvested dividends made up about 40% of total stock returns from 1926 to 2006. In fact, dividend investing is so appealing that superinvestor Warren Buffett has made it a significant component of his portfolio. When searching for great dividend stocks, it makes a lot of sense to start with companies that have been playing the dividend game the longest. Standard & Poor's has culled the dividend winners from the also-rans in a list it calls the "Dividend Aristocrats." But Standard & Poor's has also created another similar index that it calls the High Yield Dividend Aristocrats.... more
Will These Dividends Last Forever?
Whether you're a beginning investor or a near-retiree, it's vitally important to pursue dividend-paying stocks. Companies with quarterly or annual payouts not only provide you with a steady stream of income, but also have the potential for capital appreciation. Simply put, dividend stocks can give your portfolio what almost no other investment can: both income and growth. At The Motley Fool, we're avid fans of dividends -- and not just because we like that steady stream of cash. Studies have shown that from 1972 to 2006, stocks in the S&P 500 that don't pay dividends have earned an average annual return of 4.1%. Dividend stocks, however, have averaged a whopping 10.1% per year. You'd be crazy not to take advantage of that incredible difference!... more
How Long Can Broadcom's Dividends Last?
Whether you're a beginning investor or a near-retiree, the importance of purchasing stocks that pay dividends cannot be overstated. Not only do companies that have quarterly or annual payouts provide you with a steady stream of income, they also have the potential for capital appreciation. Simply put, dividend stocks can give your portfolio what almost no other investment can -- both income and growth. At The Motley Fool, we're avid fans of dividends -- and not just because we like that steady stream of cash. Studies have shown that from 1972 to 2006, stocks in the S&P 500 that don't pay dividends have earned an average annual return of 4.1%; dividend stocks, however, have averaged a whopping 10.1% per year. That is an incredible difference -- one that you'd be crazy to not take... more
Top-Yielding Utilities (You Might Actually Want to Buy)
The power of dividend investing is pretty well-known these days. Higher-yielding stocks tend to offer higher returns over time than low- or no-yield stocks, according to research from Jeremy Siegel and others. In fact, the 20 best-performing survivor stocks from the original S&P 500 in 1957 are all dividend payers. What's more, reinvesting dividends acts as a "bear-market protector and return accelerator," according to Siegel. The extra shares purchased and accumulated at higher dividend yields during down periods act as a protector in falling markets, and these extra shares rising in value turn into a "return accelerator" when prices rise.... more
5 Manufactured High Yielders
If you rely on bond interest or stock dividend payments for current income, you're probably looking for answers. With short-term treasury bills yielding 0.25%, five-year CDs paying 2.26%, and the average S&P 500 stock only offering a 1.9% dividend yield, it may be tempting to reach for extra yield by buying shares in dubious companies. Don't. Investors in oil refiner Valero learned their lesson the hard way. In 2006 and 2007, business was booming; refining spreads were wide, the company generated millions in free cash flow, and it nearly doubled its yearly dividend payment from $0.32 to $0.60. Valero retained its dividend policy, and throughout 2009, it had an attractive dividend. But eventually, the commodity nature of the refining business caught up with the cash flows. In 2010, the... more
The Outstanding Dividend Stock I'm Buying Now
Do you like a fat dividend? What about a growing dividend? And a company with a legalized monopoly that can keep those fat payouts climbing? Then I think you're going to love this outstanding stock, which I've been buying for my own portfolio in the past few months. OK, I'm not buying it as of this minute, because of the Fool's disclosure rules, but as soon as the Fool's rules permit, I will be scooping up more. That stock is National Grid (NYSE: NGG). There's a lot to like about this regulated utility, and it can make a great investment in times of uncertainty such as we have today.... more
The Most Promising Dividends in Domestic Telecom Services
Dividend payers deserve a berth in any long-term stock portfolio. But seemingly attractive dividend yields are not always as appealing as they may appear. Let's see which companies in the domestic telecom services industry offer the most promising dividends. Yields and growth rates and payout ratios, oh my!Before we get to those companies, though, you should understand just why you'd want to own dividend payers. These stocks can contribute a huge chunk of growth to your portfolio in good times, and bolster it during market downturns.... more
10 Dividend Champions: Lowest Yields, Highest Total Returns
The importance of dividends cannot be disputed or denied. To paraphrase Will Rogers, dividends provide investors both a return of and a return on invested capital. Consequently, in addition to augmenting returns, dividends also simultaneously reduce risk. Each time a dividend is paid to an investor, the investor has less capital at risk equal to the amount of the dividend paid. As an aside, this important point is often left out when people are calculating yield on cost. Even though this return of capital is a great benefit, it also can require a new investment decision if the investor is not spending the dividends. One way to handle this is to only invest in dividend paying companies that offer a DRIP (dividend reinvestment program) program. This is a legitimate strategy that takes... more
Just One Stock: The High Yielder Central to Waste Industry Transformation
Several times a week, Seeking Alpha's Jason Aycock asks money managers about their single highest-conviction position - what they would own (or short) if they could choose just one stock or ETF. Christopher Begg, CFA, is the chief investment officer and CEO of East Coast Asset Management Inc., an investment management firm headquartered in Essex, Mass. Previously, he worked as a portfolio manager and research analyst at Moody Aldrich Partners. If you could only hold one stock position in your portfolio (long or short), what would it be?... more
ViewPoint Financial (LTXB) Moves Dividend Back to $0.05 Per Share
Update 8 July 2015: LegacyTexas Financial Group, Inc., formerly ViewPoint Financial Group Inc., is a stock holding company for its wholly owned subsidiary, LegacyTexas Bank.
ViewPoint Financial Group, Inc. (Nasdaq: LTXB) announced a quarterly cash dividend of $0.05 per share. The cash dividend is payable on February 17, 2011, to shareholders of record as of the close of business on February 3, 2011.
(The past two dividend payments [Nov 2, 2010 and Aug 3, 2010] were $0.04 per share)... more