Bespoke Investment Group crunched the numbers and found a list of stocks that it sees as relatively safe dividend plays.
Bespoke screened the S&P 500 last week , looking for companies that have consistently raised dividends for at least 10 years. They also looked for companies that yield more than 2.5 percent and are paying out less than half of estimated earnings for the current year.
Bespoke co-founder Paul Hickey, on "Street Signs" Tuesday, says stocks that have built a reputation for consistently paying dividends are a relatively safe place to look for yield.
“While they aren’t necessarily glamorous names, they are companies that have managed to raise their dividends even during one of the worst economic calamities in more than a generation. Investors who are on the sidelines looking to gain equity exposure, are probably unlikely to go right into high growth names, so these stocks provide a good area of the pool to dip their foot in,” notes Hickey, who did the screen.
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