This article is contrary to the way I like to invest – owning dividend paying large cap stocks, but it is still good to show an opposing view. See the details in USAToday – America’s Markets by Matt Krantz for the against the grain story:
http://americasmarkets.usatoday.com/2014/05/01/uncle-sam-hates-these-6-stocks-youll-love/
In my opinion, I would rather have dividends paid by companies than growth through the stock itself (even though Berkshire Hathaway doesn’t pay a dividend and I own that stock). Cash flow through dividends and share buybacks add value; growth by companies without tangible cash payout can be accomplished by tricky bookkeeping while you can’t mess around with cash being paid out of a business. I like getting something tangible for my investment; too often the ‘growth’ can be fleeting and can disappear. Would rather have the cash, especially when the company has a history of raising its dividends year after year – sharing the profits with shareholders is always a good idea, promoting more demand for shares in the long term.
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