"With such a wide range of US company stocks available for investment, the sheer breadth of choices can often become intimidating and overwhelming to neophyte investors. Familiar industrial names can often be a good research starting point, as their ubiquity is often due to the widespread adoption of their products and services, meaning the odds are good that the company's revenues should be proportionately strong."
"Companies with consistently strong revenue and earnings growth will inevitably rise in market price. Those companies that find themselves sitting on extra cash after capital expenditures for R&D and other further expansion will often elect to issue dividends to both reward current shareholders and to attract new ones. If the business model is succeeding and all cylinders are firing without any interruptions, dividend increases are a common result."
A wide range of US company stocks can overwhelm new investors, so familiar industrial names often serve as starting points because ubiquity usually reflects widespread product and service adoption and strong revenues. Companies with consistent revenue and earnings growth tend to see rising market prices. Firms with excess cash after capital expenditures and R&D often issue dividends to reward and attract shareholders. Sustained dividend increases commonly follow successful business models. Companies that raise dividends for at least 25 consecutive years qualify as Dividend Aristocrats, signaling consistent growth, dividend generation, and longevity that can reduce downside risk. All yield quotes are based on market price at the time of writing.
Read at 24/7 Wall St.
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