Dividends Change the Game for Faithful IBM Investors

The wealth-building power of compound interest will never cease to amaze me. It's a story of patience and attention to detail, where small short-term differences add up to massive divergence over decades. And in the end, the biggest winners don't always deliver the fattest share-price returns.

Today, I'll take another look at Dow Jones (DJINDICES: ^DJI ) bellwether IBM (NYSE: IBM ) . It's been about six months since I last dove into IBM's dividend and buyback policies, and things have changed dramatically since then. Warren Buffett believes in IBM -- so much that he invested nearly $11 billion in the company. If Buffett feels this strongly about a technology stock, it's almost foolhardy to bet against him. And at today's low prices, IBM delivers an unusual combination of discounted value and historically strong dividend yields. What's not to like?

Source: Motley Fool

Related Articles:
- 9 Dividend Stocks Beating The 4% Rule
- How To Buy Dividend Stocks At The Bottom
- 8 High-Yielding Dividend Aristocrats Not Afraid to Raise Their Dividends
- Three Keys For Successful Dividend Growth Investing
- 12 Dividend Stocks With A Quick Payback