Investors and their advisors love owning stocks that consistently dole out ever-increasing dividends to shareholders. Not surprisingly, most of the world’s largest companies are also the ones who pay out the largest quarterly and annual dividends.
Dividend-paying stocks historically outperform those that don’t, protect investors' accounts from inflation and provide a tremendous incentive to stay invested in blue-chip stocks rather trading in and out of them and racking up fees.
Here’s an
*Indicated Annual Dividends (IAD) is a forward-looking measure defined as a company’s most recently paid quarterly dividend multiplied by four.
Source: Dow Jones Indexes
