Better Than Dividends: Do This for 14%+ Yearly Returns in Stocks
October 29, 2024 at 05:00 AM EDT
If you’re like me, when you see an outsized dividend yield, you stop for a second and immediately do the mental math. How much would we get back in payouts from, say, a 9.3% payer if we were to invest $10,000? Or $20,000? Or $100,000? But savvy contrarians we are, we know to push back on this initial reaction and look deeper. Because (as we contrarians know), those big yields can (and usually are) a danger sign. Truth is, a rising dividend is only one possible reason for a high payout. In fact, it’s the least likely one. More often, a high yield stems from something we want no part of : a plunging share price.… Read more