Slide Show | September 2013

See All Slide Shows   Page 1 of 10  

8 Ways to Profit From Dividend Stocks

slideshow image


Lately it's been hard to go wrong with dividend-paying stocks. Many companies are being generous with their payouts, and their stocks have generally performed well. But if your dividend holdings look a lot like your Grandma's—perhaps a smattering of utility and consumer-staples stocks—it's time to update your strategy.

One reason to revamp your approach: Some of the more traditional dividend-paying sectors, such as utilities and telecom services, may fare poorly when interest rates rise. What's more, income-starved investors have been snapping up higher-yielding stocks, leaving many of these shares looking pricey. And investors who limit their dividend hunt to the usual suspects are overlooking some companies with great dividend-growth potential. Some stocks that Grandma never dreamed of buying—including many technology companies—have become reliable dividend payers.

Here are eight ways income investors can profit from dividend stocks.

8 Ways to Profit From Dividend Stocks



Permission to post your comment is assumed when you submit it. The name you provide will be used to identify your post, and NOT your e-mail address. We reserve the right to excerpt or edit any posted comments for clarity, appropriateness, civility, and relevance to the topic.
View our full privacy policy

Check Out
Kiplinger's 2016 Online Broker Rankings

print / view as single page order a reprint