These Blue-Chip stocks are stable and pay a nice dividend, making them even stronger
Defining and buying blue-chip stocks and their strong
dividends is a smart strategy in any market.
A few questions need to be answered before launching into
this article. First, what qualifies
blue-chip stocks? The answer is partially subjective and partially
objective. Subjectively speaking, a blue-chip company is one that is huge and
has an excellent reputation. So, blue-chip stocks is one that represents a huge
company with an excellent reputation. They also tend to have dependable
earnings and often pay dividends.
More objectively speaking, a blue-chip stock is one with a
market capitalization in the billions and is usually among the top-three
companies in its market, if not the outright leader.
Another question that needs to be answered is what exactly
are ‘strong’ dividend yields? This is again a subjective determination. But the
general consensus is that yields between 2% and 6% are ‘strong’.
So for the the purposes of this discussion we’ll stay within
that range. Remember, extraordinarily high yields pose a risk as they are often
unsustainable. Below are seven of those blue-chip stocks:
No comments:
Post a Comment