Articles About Dividend Investing

3 Small-Cap Dividend-Paying Healthcare Stocks Compared With Pfizer

Investing in dividend paying stocks is an ideal approach to turbo charge the stock portfolio and also to buffer oneself against the vagaries of stock movement. Choosing a stock from a mature sector is a good idea, as the valuations would not be too high and there would be future stable growth. One such sector is healthcare. The healthcare sector consumed an average of 9.3% of the GDP across the OECD countries as a whole. Within the US this is even higher at 17.7% and it is in double digits in most of the countries, including The Netherlands (11.9%), France (11%), Germany (11.3%) and so on. There is ample scope of future growth in this sector, because of an ageing population requiring higher expenditure on healthcare vis-à-vis other sectors. Below are some stocks that might be... Read more

AT&T and Verizon Continue to Impress Dividend Investors

As the current earnings season approaches the halfway mark, investors continue to evaluate their holding positions to see whether they should tweak their portfolios. This season has not been the best for large companies like Google (NASDAQ: GOOG), IBM (NYSE: IBM) and Bank of America (NYSE: BAC), since they all missed Q1 estimates. Now analysts predict that the S&P 500 will post a per share income of about $27.50, compared to the initial prediction of $27.60 for Q1. However, dividend investors could still smile, especially those investing in the telecom industry. While the technology sector so far has seen 5 out of 15 companies miss Q1 estimates, giant telecommunication companies like AT&T (NYSE: T) and Verizon (NASDAQ: VZ) continue to pay a... Read more

Three Healthcare Stocks With Compelling Dividend Yields And Growth Rates

The healthcare sector offers one of the best opportunities for investors. This is because health is not a luxury, and for some people it is a constant expense in their budgets. Over the years, several companies have joined the market in different capacities and with various distinct target markets. While biotechnology companies are considered high reward speculative opportunities, large drug manufacturers like U.S.A’s Johnson & Johnson (NYSE: JNJ) and U.K’s GlaxoSmithKline (NYSE: GSK) offer stability and continuous payout in terms of dividends. Over the last few years these two, along with Baxter International (NYSE: BAX), have shown resilience in their quest to grow dividends and maintain compelling yields. Now,... Read more

Three Dividend Kings in the Technology Sector: Which is the Best Pick?

Investing in dividend stocks is never as straight forward as it may seem at times. There are key factors that an investor needs to consider before buying a stock that paid an enormous dividend to shareholders during the previous campaign. This report assesses three dividend kings with yields of at least 10% in the technology sector. It also identifies some factors crucial to choosing the best dividend stock regardless of the attractive dividend yields that some may boast. Windstream Holdings Windstream (Nasdaq: WIN) is a telecommunications service provider based in the U.S. The company provides communication and technology solutions to U.S customers. Some of its business involves the provision of managed services, cloud computing services and broadband, to... Read more

Gambling on Oil: Play The Market, Not The Odds

At a time when the markets are dominated by talk about technology stocks and the growing effect of hand-held consumerism, it is surprising to see that oil producers are still some of the most valuable companies in the world. According to International Energy Agency, the U.S. will become the largest producer of oil in 2020 and energy self-sufficient in 2035. The price of oil and it’s availability in a region largely determine the dynamics of an accompanying economy; oil shocks are translated into inflation figures and stifle economic growth, due to reduced purchasing power. Hence, investors maintain heightened interest in the companies involved in upstream and downstream operations of oil. Furthermore, oil stocks will continue to be an attractive prospect for investors who are... Read more

Mining Into An Abyss: A Look At 3 Mining Equipment Stocks

Mining CAPEX is declining faster than originally thought. In 2012, analysts predicted that global mining CAPEX would decline 14% in the succeeding two years. However, global mining CAPEX is estimated to have declined by 26% already. Caterpillar (NYSE: CAT) is the world’s leading producer of construction and mining equipment and the company’s third quarter earnings plunged by 44%, while also being the worst performing stock on the Dow Jones Industrial Average in 2013. Earlier in January, Joy Global (NYSE: JOY)) was downgraded by Goldman Sachs, from neutral to sell. The company ended the year with net income down 30%, to $533.7 million, or $4.99 a share, and revenue down 12% to $5 billion. Komatsu (OTC: KMTUY) cut its full-year... Read more

The Polar Vortex Has Failed To Turn Tables In Utilities Stocks

The Polar Vortex brought eastern U.S. to a stand-still as the New Year dawned upon us. With the unprecedented cold came an unanticipated rise in electric demand amidst low temperatures. While the majority of the retail customers is cushioned from short-term price hikes in fixed contracts, the brunt of demand surge will be felt by the utilities providers as gas prices shoot up and increase the cost of production. While this was a one-time event as the arctic blast brought havoc to the eastern U.S, annual episodes of such freezing temperatures could shoot a hole in utilities companies’ earnings. This article looks at three leading utilities companies of the U.S. that offer attractive dividends and show prospect of organic growth at a time when stringent environment and renewable... Read more

Identifying Dividend Stocks for Beginners

Generally, the aim here is to provide investors and stock pickers with insight into dividend stocks from around the world, and bring to attention companies that might otherwise go “under the radar” and escape attention. However, this article is a little different. Instead of offering stock tips and picks, it will take a step back and have a look at what makes up a great dividend stock. The aim is to provide the first steps in broadening the knowledge of what makes a good dividend stock beyond simply the dividend yield next to the stock ticker. The dividend yield is merely a starting point for further research. Buy Businesses, not Dividend Yields The first thing that can be gained from taking a step back is a step away from the devotion to... Read more

4 Small- and Medium-Cap Dividend Stocks with Low Volatility

Historical evidence from academic research suggests that there is an anomaly related to low-volatility stocks, observed in portfolios of the like securities, which indicates that higher expected rates of returns do not always correspond to higher assumed risk. Stocks with low volatilities of returns, perceived as less risky than high-volatility stocks because their returns do not fluctuate dramatically in either direction over short-term periods, have tended to produce higher risk-adjusted returns than their high-volatility peers. An explanation for that outperformance can be found in the tendency of low-volatility stocks to reduce drawdowns during market corrections. (For the reference, volatility is measured as standard deviation or variance of the stocks’ daily price returns over... Read more

3 New Dividend Payers from Nasdaq Technology Dividend Index

Technology companies have been traditionally associated with growth, not income. However, flush with cash, they have now easily become the strongest drivers of dividend growth. Based on the data for the S&P 500 index, the IT sector registered the leading rate of year-over-year dividend growth of 62.0% in the second quarter of 2013. Analysts peg the annual dividend-per-share growth rate at about 17.4% for the next 12 months –the highest among all S&P 500 sectors– which is nearly double the projected growth rate of 9.1% for the overall index. At the same time, the number of tech sector dividend initiators is rising. Is this a good or a bad sign? An article in Barron’s “Once your tech company starts paying a dividend, run away!” seemed to suggest it was... Read more