Part 6/7:
Selecting Dividend Stocks
When choosing dividend stocks, investors should focus on companies with a strong history of paying dividends without speculation. Utilizing existing lists of successful dividend stocks is a good starting point, often featuring well-known, stable companies.
One example that resonates with investors is AT&T, a company with a rich history dating back to 1885. While its stock price might have faced recent challenges, the company’s longevity and reliability make it an appealing dividend investment. Evaluating a stock involves reviewing key metrics such as the dividend yield—the annual dividend payment as a percentage of the stock price—and assessing the consistency of these payments over time.