Investment case Coca-Cola. Coca-Cola is a beautiful company. It’s one of the favorite stocks of Warren Buffett. And the good news? They pay a very attractive dividend.
- You invest in high dividend yield companies and focus primarily on the dividend yield
- You focus on attractive quality companies with a robust dividend that is increasing every single years (via this way you might also benefit from an appreciation of the stock price)
When you get a dividend yield of 8.6% for Altria and the stock remains flat this year versus Coca-Cola paying a dividend of 3% and the stock goes up 8% this year... In that case you're still better off with Coca-Cola
Hi Kan,
I think there are 2 different approaches:
- You invest in high dividend yield companies and focus primarily on the dividend yield
- You focus on attractive quality companies with a robust dividend that is increasing every single years (via this way you might also benefit from an appreciation of the stock price)
There are multiple roads that lead to Heaven. :)
Hi Kan,
It's an honor!
It all depends of course.
When you get a dividend yield of 8.6% for Altria and the stock remains flat this year versus Coca-Cola paying a dividend of 3% and the stock goes up 8% this year... In that case you're still better off with Coca-Cola
I hear you.
So when we build a portfolio, you prefer high dividend yielding stocks over dividend aristocrats with a lower dividend yield?