There is a name assigned to stocks that fit the description in the headline, and that’s “dividend aristocrats.” I don’t really care for the name because it can mislead investors into thinking that these are perpetually safe stocks. I don’t think any stock is perpetually safe, so to speak, because even the greatest companies are going to see their stocks crater in a broad market crash. Aside from that, it is a good idea for retirement and income investors to sort through some of these stocks to see if they fit their own long-term diversified portfolio.
I’ve got three candidates to consider, and I chose these three because in the “dividend aristocrat” family, they are actually lesser-known names, despite being some of the highest yielders. The key with dividend aristocrats is cash flow. They’ve been making enough of it for a very long time to pay the dividends, so be sure that remains the case: Community Trust Bancorp Inc. (NASDAQ:CTBI), WGL Holdings Inc (NYSE:WGL) and Nucor Corporation (NYSE:NUE).
Source: Seeking Alpha
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Posted by D4L | Saturday, March 14, 2015 | ArticleLinks | 0 comments »________________________________________________________________
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