Happy Friday!
I hope you're having a great Friday! I just finished picking my first stock(
PBI )! A few weeks ago it was trading at ~17$, but is now near it's 52-week of $12.81. There were two major factors that I used in selecting the stock I chose:
- The stock should have a long history of paying regular dividends. Not every so often, but yearly, quarterly, or monthly for at least 5 years.
- The stock should be trading at an amount that would allow at least a 5% yearly gain through dividends alone.
I set these rules in place because I don't believe in trading worthless pieces of paper. Most stocks (IMHO) are just tokens people buy and try to sell for a profit to someone else. Requiring regular dividends means that I don't have to care whether the stock's price goes up or down. This is because I'll continue to get that % return every year in the form of a dividend regardless of how much I paid for it.
Have a great weekend!
P.S. I forgot to mention the two main tools I used were Google Finance and Dividend.com's list of Stock that have increasing dividends for the last 25 years.
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