Dividend Stocks ( General Discussions )

[winston]

Signs it's Time to Dump these Dividend Stocks by Tim Melvin

The first sign that a dividend stock might be losing its luster is the most obvious, a slowing of earnings growth.

If the company has been growing earnings at a 20% rate for the past few years and this year is only showing increases of 10% or so, this is a potential red flag.

Check the earnings trend over the past few years and if it is showing a steady decline of even a few percentage points a year, the company could be growing stagnant.

A good check is to see what type of growth analysts expect for the next three to five years. If they are only seeing single-digit growth it may well be time to sell the stock.

If the earnings growth rate for the past few years is much higher than the revenue growth rate, be aware that this indicates the company is growing by reducing.

Rather than any real increase in demand for its products and services the growth has come by reducing expenses and headcount.
While this is a good thing in the short run it is not sustainable. Eventually revenue demand needs to increase as well, or earnings and the stock price will decline.

Keep an eye on profit margins as well. If margins are steadily declining this tells you that the company is either having problems with raw material prices or is discounting its products to generate revenue. Both could lead to lower earnings and a decline in the stock price.

It seems that everyone loves the stock market and especially dividend stocks right now. That is a very good reason to begin to suspect it is time to review your holdings to make sure you're investing in the best of the group, and not those with slowing sales and earnings growth.

http://moneymorning.com/2013/04/30/thes ... -security/

[winston]

Why Dividend Investing Will Always Be Better Than Buying the Entire Stock Market

Source: GuruFocus

http://www.thetradingreport.com/2013/06 ... ck-market/

[Chinaman]

Why Dividend Investing Will Always Be Better Than Buying the Entire Stock Market

Source: GuruFocus

http://www.thetradingreport.com/2013/06 ... ck-market/

dividend growth stocks generate a better return than pure capital appreciation
quite truth, e.g. First reit and Cambridge reit for the past 3 yrs been collecting good dividend...for me i never keep stocks that do not pay dividend...this is my motto.

[winston]

re: Dividends, You Have It Backwards by Joshua M Brown

http://www.thereformedbroker.com/2013/0 ... backwards/

[winston]

Five Golden Rules for Dividend Investors

http://thedividendtheory.com/2013/08/17 ... investors/

[winston]

Two simple ways to turn “good” investments into life-changing ones

By Bryan Beach

Source: The S&A Digest

http://thecrux.com/two-simple-secrets-m ... rs-ignore/

[winston]

Consider this is a "cheat sheet" for finding the world's greatest dividend investments

by Bryan Beach

Source: The S&A Digest

http://thecrux.com/this-is-some-of-the- ... tely-free/

[winston]

Think Like An Owner

Source: Dividend Mantra

http://www.thetradingreport.com/2014/09 ... -an-owner/

[winston]

6 Lessons I’ve Learned through 4 Years of Dividend Investing

Source: The Dividend Guy Blog

http://www.thetradingreport.com/2014/09 ... investing/

[winston]

If you don’t take advantage of this, you can’t call yourself a real investor

by Amber Lee Mason

Source: DailyWealth Trader

http://thecrux.com/if-you-dont-take-adv ... 37gMXBU%3D