Not All Dividend Stocks Are The Same

Nowadays, everyone wants stocks that pay dividends -- especially dividends that have grown throughout a company's history. But before you pick a stock simply because of its dividend history, take a closer look; not every such stock makes a good investment.

When it comes to well-established dividend stocks, few honors are more prestigious than making Standard & Poor's Dividend Aristocrats list. In order to qualify as a Dividend Aristocrat, a company has to increase the dividend on its stock every year for at least 25 years. A single misstep can ruin a decades-long good reputation, as General Electric and Pfizer discovered when they were taken off the list in 2010.

Source: Motley Fool

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