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Dividend Investing for Passive Income and Growth

 
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Learn how to select dividend stocks for market-beating passive income and growth opportunities.

Description: A graph showing the performance of a selection of dividend stocks over time.

Are you looking for a way to generate passive income while also benefiting from growth opportunities? If so, dividend investing could be the answer. Dividend investing involves selecting stocks that pay out regular income to shareholders, often in the form of cash or stock dividends. Each of these companies can provide income investors with growing, market-beating passive income.

When selecting dividend stocks, it's important to consider not only the dividend yield, but also the company's underlying business. These stocks stand out as exceptional buys considering their growth opportunities and dividend histories. Solid dividends plus solid underlying businesses make these stocks solid picks for retirees.

investors who are looking for income and growth should consider a strategy known as "growth, then income". This strategy involves investing in stocks with high growth potential first, then shifting to dividend-paying stocks later on. These dividend stocks have helped investors follow a "growth, then income" strategy.

One of the best examples of a successful dividend investor is Ken Griffin, the founder of Citadel, who closed out 2020 with a smile. According to reports, Griffin earned an estimated $2.6 billion in 2020 from investments, primarily in the form of dividend payments from stocks he owns.

Another successful dividend investor is John Buckingham of The Prudent Speculator. He provides stock picks for investors who share his "passion for value investing." His top picks for dividend investors include Microchip Technology (NASDAQ:MCHP), Caterpillar (NYSE:CAT), Xcel Energy (NASDAQ:XEL), Cardinal Health (NYSE:CAH) and Archer-Daniels-Midland (NYSE:ADM). These stocks offer attractive dividend yields, along with solid underlying businesses.

If you're looking for stocks with high dividend yields and solid underlying businesses, then you should consider Marathon Petroleum Corporation (NYSE:MPC). This stock has a current dividend yield of 4.9%, and it has a strong projects pipeline focused on growth, with a balance of traditional and low-carbon projects.

Finally, if you like dividends, then this trio of stocks should be on your wish list so you can pick them up when they're cheap. These stocks are AT&T (NYSE:T), Verizon (NYSE:VZ), and ExxonMobil (NYSE:XOM). All three of these stocks have high dividend yields and solid underlying businesses.

In conclusion, dividend investing can be a great way to generate passive income and benefit from growth opportunities. When selecting dividend stocks, it's important to consider the company's underlying business, in addition to the dividend yield. investors who are looking for income and growth should consider a strategy known as "growth, then income". Finally, stocks like AT&T, Verizon, and ExxonMobil can provide investors with high dividend yields and solid underlying businesses.

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dividend investingpassive incomegrowth opportunitiesdividend yieldsunderlying businessgrowth then incomeNASDAQ:MCHPNYSE:CATNASDAQ:XELNYSE:CAHNYSE:ADMNYSE:MPCNYSE:TNYSE:VZNYSE:XOM

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