The nail-biting price volatility of the stock market shows no sign of easing anytime soon. Triple-digit price swings are occurring practically on a daily basis. Since August and through mid-October, the Dow Jones Industrial Average has moved up or down more than 100 basis… Read More
Income Investing
As an income investor, the dividend yields are tempting. I’ve found yields of 14.3%… 15.1%… and even 19.6%. Annual yields that high almost sound too good to be true, but the securities offering them are a proven investment. The businesses behind… Read More
A few weeks ago, I told you about the enormous number of high-yielding stocks abroad. If you remember, my research team and I found only 18 profitable U.S. companies were paying yields of more than 12%… compared with 412 overseas. Although the numbers fluctuate daily, this means… Read More
I have a chart I want to show you. It’s nothing complex or hard to understand. In fact, I take pride in how simple it is to read. You’ll be surprised the information shown in this chart is the result of less than two years of work;… Read More
Since July 22, a global market rout has caused — almost daily — price swings of up to 300 basis points in the S&P 500. Such market volatility and fears of an imminent recession have triggered a… Read More
It’s been said the best gifts sometimes come in the smallest packages. The same is often true for dividend-seekers — some small cap stocks can provide a reliable and sizeable source of income that’s quite uncharacteristic for a company of their size. And, aside from surprisingly large… Read More
As the editor of the income-investment newsletter The Daily Paycheck, it’s my job to find safe, high-yielding investments that my readers can hold without worrying about the ups and downs of the market. #-ad_banner-#Today, those securities can be difficult to… Read More
As income investors, we can get caught up in yields… almost to a fault. But there is something else you should be studying that could make just as big a difference to your long-term returns: stocks that pay dividends. #-ad_banner-#That’s because dividend growth can make even lower-yielding stocks into big income producers over time. Take a look below at the income streams from a stock yielding 7% but not growing dividends, versus a 5% yielder that hikes payments an average of 10% a year in seven years. If you held 1,000… Read More
As income investors, we can get caught up in yields… almost to a fault. But there is something else you should be studying that could make just as big a difference to your long-term returns: stocks that pay dividends. #-ad_banner-#That’s because dividend growth can make even lower-yielding stocks into big income producers over time. Take a look below at the income streams from a stock yielding 7% but not growing dividends, versus a 5% yielder that hikes payments an average of 10% a year in seven years. If you held 1,000 shares trading at a $10 share price, then here is the income stream each would produce during one year: In just five years, that 5% yield would actually be worth more than the 7% yield. And just two years later, your income stream would grow to be 27% more than the stock yielding 7%. Keep in mind, this doesn’t take into account rising share prices. If both yields stayed the same, then the share price of the 5% yielder would have to grow to $17.72 — a 77% gain. Read More
What do you do when you find a stock with more than 988 million of its products in use… that holds more than $28 per share in cash… and is buying back $2 billion in stock? I think you buy it and hold it forever. And I’m… Read More
America’s growing obesity epidemic has been for years one of the primary concerns among health-care professionals and organizations. Right now, about one-third of adults and 20% of children in the country are obese, according to the U.S. Centers for Disease Control and Prevention. So it’s easy to imagine the costs… Read More