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Welcome to our guide to stocks with best dividends. Perfect for seeing which stocks with high dividends you should invest in when you sign up to us at CAPEX!
We at CAPEX will always make sure that you get a quick and easy way to invest in these stocks with dividends. Keep reading to see how to get involved.
While we, at CAPEX, are a contract for difference (CFD) broker, you can still benefit from the dividends despite not owning the underlying asset. This is because we make sure that anyone who invests in these stocks with dividends is amply rewarded for their investment. If you know how to short shares online, remember that CFDs give you a chance to trade in stock without having to actually buy the stock itself. Not only is this easy to do, but it is also very fast too. So come to our CAPEX site to see how you can trade CFDs and discover another big reason why stocks with high dividends yields are so popular.
The stocks with best dividends usually come from those companies that are well established on the stock exchange. They are frequently some of the more low-risk investments you can make at online brokers like us, at CAPEX.
As such you can expect to see many of the household names in the US economy featured here. So look out for stocks in the S&P 500 with dividends in brands ranging from Procter & Gamble and Johnson & Johnson to McDonalds, Walmart. Not only will these stocks pay out dividends on a regular basis, but you’ll be investing in a company that holds an excellent reputation and stands very little chance of losing its value.
Stocks paying dividends are put on by companies who are willing to pay out a fraction of their earnings to their shareholders. Such dividend payouts are often held on a regular basis meaning that stocks with high dividends can be a good investment choice. You’ll find that many US-based dividend stocks will pay out on a quarterly basis, while some do it as little as every year, or as much as every month.
Stocks that pay dividends are great value as they regularly pay a portion of the company’s earnings. This means that anyone holding one of this company’s stocks could get a monthly, quarterly or yearly dividend payout. The dividend payouts will be determined by a variety of factors such as the company’s economic performance that year and so on. As a result, any stock with dividends will be hot property on the stock market.
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If you want a good place to start in your hunt for high dividend stocks, then you should take a look at the S&P 500 Dividend Aristocrats. This offers a series of excellent examples of 40 dividend stocks that offer high yields. Not that these are one-off or sporadic dividends. All of the companies featured on the list offer investors consistent yields that are a cut above the competition.
Each of the companies featured in the S&P 500 Dividend Aristocrats list will have to share a few key features. These include a history of having dividends that increased over the past 25 years, a trading value of in excess of $5 million on average, and having a floated market capitalization in excess of $3 billion.
It’s essential that you don’t rush in when considering buying stocks with best dividends. We’d always recommend that you do some research to see the reasons why a particular stock may have a particularly high yield. Start by looking at the brand’s payout ratio. In general, if the payout ratio is anywhere above 80%, it could mean that the company is in trouble and is having to go into debt to pay off its dividends.
Once you’ve made your decision about which are the stocks with best dividends to invest in, you can simply come to our site at CAPEX.com and pick a CFD for that stock. This means that you don’t have to go through the complex mechanisms of buying stocks with best dividends. A CFD will instead let you invest in how the value of the stock rises or falls. An easy way to trade on the value of the world’s biggest stocks.
We, at CAPEX, allow you to buy CFDs on stocks with best dividends so that you benefit from this relatively low-risk investment. All of which shows why these are some of the most sought-after assets on the marketplace.
Any decision to invest in dividend stocks must ultimately be guided by research into the dividend payout ratio. This is a ratio that simply takes a company’s net income and then divides that by the total dividends. As a result, any potential investor will quickly be able to see what proportion of a brand’s net income is being paid in the form of dividends, as opposed to being kept to maintain the brand’s growth.
So if you see a company that has a dividend payout ratio of 15%, it could mean that that brand is investing a large proportion of its money into research and development. However, if the company’s dividend payout ratio is over 100%, then that brand is probably having to borrow money to pay off its investors. It is usually suggested that an ideal dividend payout ratio would lie somewhere between 35% and 55%, but take a decision based on your own investing objectives.
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We’ve already talked about the S&P 500 Dividend Aristocrats list of high yield dividend stocks. These include several household names such as Coca Cola, Walmart, McDonalds, AT&T, Chevron, Johnson & Johnson and Procter & Gamble. But whether you are investing in something like International Business Machines or Expeditors International of Washington, you’ll know that these are solid investments. The good thing is that you can invest in CFDs of all of these high yield stocks at CAPEX.
Also, it’s important to note that the best dividend stocks come from many industries that might not have the glamor of big tech brands, but they are able to work wonders on the stock exchange. From industrials like Roper Technologies and Caterpillar to financials such as People’s United Financial and Chubb, there are plenty of big dividend stocks to invest in. Stick with us, at CAPEX, to find CFDs for all of the best yielding dividend stocks.
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There are three main ways to invest in dividend stocks. The most obvious way is to buy individual dividend stocks, while you might also see the option to buy dividend stocks as part of an exchange-traded fund (ETF). However, we, at CAPEX, feature a CFD way of trading that means that you don’t have to go through the whole process of actually buying the dividend stocks.
Buying CFDs is faster and easier than buying the individual dividend stocks. Plus it gives you much more clarity than dividend ETFs where the stocks are just a part of the many assets in an investment ‘basket’. While ETFs hold the advantage of offering a diversified investment, the flexibility of CFDs means that you can easily create a balanced portfolio. After all, we, at CAPEX, give you a safe and easy way to buy CFDs for dividend stocks, commodities, cryptos and much more.
Investing in stocks with best dividends offers you one of the more reliable ways to benefit from the fluctuations of the market. Obviously there is a huge amount of risk in any kind of stock market investment, but many people have successfully invested in some of the high-yield dividend stocks that we’ve mentioned.
Lists like the S&P 500 Dividend Aristocrats are invaluable in highlighting those stocks that pay out consistently and in a high-yield manner. Plus our CFD model of trading offers you a fast and low-cost way to benefit from the value changes of these stocks. So sign up to CAPEX and invest in stocks with best dividends.