Learn About Simply Safe Dividends
[/fusion_text]
These are our most recent articles. Also see which stocks have been this week’s best and worst performers.
Starbucks (SBUX): One of the Best Dividend Growth Stocks in the Market
Since its founding in Seattle in 1985, Starbucks (SBUX) has grown into the world’s largest coffee empire and the 67th most valuable brand on earth. Along the way, Starbucks’ amazing growth story has made countless investors amazingly rich. For example, $10,000 invested in Starbucks 20 years ago would today be worth $283,520.03 compared to just $44,044.43 invested in the S&P 500. That’s annual total compound returns of 18.1% and 7.7%, respectively, showing just how well founder, CEO, and Chairman Howard Schultz has been at generating long-term wealth for his shareholders. Of course past performance is no guarantee of future success, and one must always invest with an eye towards future growth, not just past glories (see seven [...]
CenturyLink (CTL): Safe Dividend Income or a High-Yield Telecom Trap?
Telecom companies have long been a favorite among income investors thanks to their utility-like business models, which make for steady cash flow and allow for generous, secure, and slowly growing dividends (learn about the best sectors for dividend income here). With global interest rates at their lowest levels in human history, it’s understandable why high-yield seekers might be attracted to CenturyLink (CTL) and its 7.7% yield, which is one of the highest in the telecom industry and broader market. But always remember that if something seems too good to be true, especially in the world of investing, it usually is. Let’s take a closer look at this regional telecom for consideration in our Conservative Retirees dividend portfolio and see [...]
British Petroleum (BP): A High-Yielding Dividend Oil Stock to Avoid
With the current oil crisis dragging on far longer than initially anticipated, many big oil dividend stocks such as BP, Chevron (CVX), and Royal Dutch Shell (RDS.A) are offering tantalizing high-yields. However, given the capital intensive nature of this business, the cyclical nature of the industry, and the unpredictable nature of crude and natural gas prices, many income investors are understandably concerned about just how safe these big oil dividends are. Let’s take a look at BP’s business model, balance sheet, risks, turnaround plans, dividend profile, and valuation to see why this is one oil giant that is probably best avoided for conservative investors living on dividends, except perhaps by the most risk tolerant dividend investors. Business [...]
Building a Dividend Retirement Portfolio: A Real-Life Story
Many of us are managing dividend portfolios designed to deliver safe retirement income. I oversee our Conservative Retirees dividend portfolio, which is designed for people living off dividends in retirement. Safe dividends, income growth in excess of the rate of inflation, and low volatility are some of the main goals of any retirement portfolio. I have had countless discussions with all sorts of dividend investors about how they became involved with dividend investing and how they approach building a dividend retirement portfolio. Every story and approach is unique and usually provides a few new tidbits of wisdom. Most recently, I connected with Dividend Sleuth, a popular author on Seeking Alpha who has been investing in stocks [...]