From Dividend Growth Stocks:
There are income investors and Dividend Growth investors. While the distinction is rather simple, it slips past many casual observers. Income investors are investing for maximum current income, while dividend growth investors are looking to maximize income over an extended period of time – usually sacrificing current income for potential greater future earnings.
Sometimes when I write about a stock that is yielding 2%, 3%, or even 4%, I get a question that goes something like, "Why would you buy that stock when there are better options, like 'Amalgamated Risk'? Its currently yielding 7%, 8%, 9% or more?" With this statement the reader has...
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More on dividends:
Four dividend stocks that are safer than U.S. Treasurys
These dividend payers aren't afraid of another recession
Some of the world's best-known blue chip stocks have become "high yielders"