Dividends Articles

Screening on Dividend Yield to Unlock Stocks With High Potential
April 2026 by John Bajkowski
The relative dividend yield serves as a valuation measure that helps indicate whether a company may be trading at a discount compared to its historical range.

Identifying Quality Dividend Stocks When Yields Are Low
November 2025 by Charles Rotblut, Doug Gerlach
Success in today's dividend investing landscape requires abandoning the outdated practice of simply chasing the highest yields.

Stock Yields: Turning Numbers Into a Strategy
September 2025 by Cynthia McLaughlin
While stock yields are often associated with dividends, they can take multiple forms, such as earnings yield or shareholder yield.

Diversifying Your Dividends for Yield and Growth
August 2025 by Charles Rotblut
Dividend investors can enhance yield, support growth and reduce risk by diversifying across sectors.

Dividend Yields Are Higher Now Than in Recent Years
April 2025 by Charles Rotblut
Stocks with yields significantly higher than current medians are alluring, but it’s essential to thoroughly analyze the stock before investing.

Key Metrics That Signal Strong Dividend Growth Potential
April 2025 by Charles Rotblut
Focusing on companies with a history of dividend growth and the financial strength to sustain it increases your odds of realizing higher total returns.

An Investor's Guide to Understanding 1099 Tax Forms
March 2025 by Cynthia McLaughlin
What earnings are reported on the common 1099 tax forms and where to include these amounts on your taxes.

How Dividend-Paying Mutual Funds and ETFs Differ
March 2025 by Cynthia McLaughlin
Yield-producing funds provide a steady income source, making them attractive for retirees and income-focused investors.

How to Read Dividend Red Flags
September 2024 by Derek J. Hageman
Dangerous dividends are ones that attract income-seeking investors with high but unsustainable returns. Warning signs to watch out for.

Stocks With Consistent Dividend Increases and Positive Free Cash Flow
September 2024 by John Bajkowski
This First Cut seeks out domestic, exchange-listed stocks that have consistently raised their annual dividend payment while maintaining positive free cash flow.

How Women (and Their Spouses) Can Thrive as Investors
August 2024 by Charles Rotblut, Cynthia McLaughlin, Nancy Tengler
An investment manager discusses including your spouse in financial conversations and a stock strategy that combines dividends with growth at a reasonable price.

Musical Chairs With Interest Rates: An Income Investor’s Adventure
August 2024 by Jenna Brashear
Visit the Income Investing Community to share your take on what’s ahead for interest rates and how it will affect your income strategy.

AAII Members Seek Dividend-Paying Stocks With Growth Prospects
May 2024 by Charles Rotblut, Anine Sus, Meagan Kaloostian
Growth, inexpensive valuation and an appealing dividend were cited by survey respondents as desirable traits in stocks.

Ranking Dividend Aristocrats on Both Growth and Yield
May 2024 by John Bajkowski
A high dividend growth rate must be assessed for sustainability, while extremely high dividend yields may signal that the market is expecting a cut in the dividend payment.

Tax-Savvy Strategies for Your Stocks, Mutual Funds and ETFs
December 2023 by Charles Rotblut
Savvy steps to avoid or limit the tax impact of security events, and tools on AAII.com you can use to help manage them.

Valuing a Stock Using Dividends
November 2023 by Brian Haughey
The dividend discount model offers an intuitive method to calculate the intrinsic value of a dividend-paying stock.

Lift off With Rising Dividend-Paying Stocks
May 2023 by Jack Gilleland
Rising dividend-paying stocks have historically provided higher cumulative returns with lower levels of volatility than non-dividend-paying stocks over long-term holding periods.

Tracking Dividends Versus Buybacks
March 2023 by Derek J. Hageman
Recent tracking of S&P 500 stocks shows that companies are clearly spending more on buybacks than dividends. 

Manage the Impact of Taxes on Your Stocks and Funds
December 2022 by Derek J. Hageman
You can control the impact that taxes have on your stocks, funds and ETFs to avoid letting taxes drive your investing decisions.

Pros and Cons of Two Dividend Investing Strategies
November 2022 by Derek J. Hageman
Which are the better dividend-paying stocks—stocks with a lower initial yield but with a high dividend growth rate, or stocks with a low dividend growth rate but with a higher initial yield?

Solid Long-Term Results From the Weiss Blue-Chip Dividend Screen
July 2022 by Jack Gilleland
A screen built on the premise that comparing current dividend yields to historical norms for blue-chip companies can allow investors to take advantage of a stock’s cycle of overvaluation and undervaluation.

High-Yielding Dividend Payers
June 2022 by Derek J. Hageman
When investing in dividend stocks, your investment criteria should consider more than just the yield.

Up, Up and Away: Biggest Rising Dividend Payers
June 2022 by Derek J. Hageman
Rising dividend-paying stocks have historically provided higher cumulative returns with lower levels of volatility versus non-dividend-paying stocks over long-term holding periods. 

Monitoring Your Tax Exposure With Stocks and Funds
December 2021 by Charles Rotblut
Taxes are an unavoidable cost with an investment portfolio. While they shouldn’t drive your decisions, you can manage their impact.

Differentiating Between High Yield and High Dividend Growth Strategies
October 2021 by Derek J. Hageman
Which are the better dividend-paying stocks: stocks with a lower initial yield but with a high dividend growth rate, or stocks with a low dividend growth rate but with a higher initial yield?

AAII's Approach to Assessing Dividend-Paying Stocks
September 2021 by Derek J. Hageman
The Dividend Screener uses metrics shown to be predictive of strong dividend growth, safety, consistency and attractive relative valuations to identify dividend stocks that may warrant further research.

Measuring Dividend Sustainability With the Earnings Payout Ratio
April 2021 by Derek J. Hageman
The payout ratio helps an investor determine if earnings are sufficient enough to cover the dividend payment. 

Dividend Aristocrats With Longest Streak of Dividend Increases
March 2021 by Derek J. Hageman
The Dividend Aristocrats strategy has demonstrated a history of weathering market turbulence over time by capturing most of the gains of rising markets and fewer of the losses in falling markets.

Viewing the Sector Exposure of Dividend Stocks Through the Aristocrats
March 2021 by Brian Haughey
One factor that dividend investors often overlook is asset allocation, or the type of firms being invested in.

Screening on Faber’s Unique Approach to Yield Investing
September 2020 by Derek J. Hageman
Filtering for stocks with positive yields for dividends and buybacks represents a reasonable strategy to identify firms that are focused on creating value for shareholders.

Coronavirus Led to Dividend Cuts Among Highly Leveraged and Low Profitability Companies
August 2020 by AAII Staff
The sharp and sudden shock to economic prospects and financial markets caused by the coronavirus pandemic led certain companies to change their existing dividend policies.

Biggest Rising Dividend Payers
July 2020 by Derek J. Hageman
The highest-quality companies have proven their ability to grow their dividends over time, demonstrating an ability to survive through a range of market environments. 

Dividend Growth Helps Portfolios Combat Inflation
July 2020 by Aaron Brask
Investors, particularly retirees, can leverage the benefits of dividends to combat the deleterious effects of inflation and market volatility.

Lowell Miller’s Dividend Strength and Growth Strategy
April 2020 by John Bajkowski
AAII’s screen based on Miller’s Single Best Investment (SBI) approach seeks out high-quality stocks trading with high current dividend yields that offer high growth of the dividend.

Essential Dividend Dates You Should Know
March 2020 by Derek J. Hageman
The dates used to determine who is eligible to receive a dividend and when it will be paid can affect when you should buy or sell stock.

Comparing and Contrasting Dividend-Focused ETFs
November 2019 by Derek J. Hageman
Deciding which dividend ETF to invest in depends on both the characteristics being sought and the willingness to look closely at the strategy a fund is designed to follow.

S&P 500 Stocks With High Payout Ratios
November 2019 by Charles Rotblut
The 20 stocks that made this issue’s First Cut are among those with the current highest payout ratios in the S&P 500 index.

Stocks With the Highest Shareholder Yield
October 2019 by Charles Rotblut
Shareholder yield combines both dividend yield and the buyback yield into a single measure. We identify the 20 stocks with the highest shareholder yields.

Three Pillars for Successful Dividend Investing
August 2019 by Derek J. Hageman
A look at a total-return strategy that seeks stocks that have the potential to rise in price and make larger dividend payments in the future.

A Dividend Approach to Judging the Value of Stocks
May 2017 by John Bajkowski, Jaclyn N. McClellan
A stock’s valuation can be judged by comparing its current dividend yield to the historical range and analyzing the payout ratios.

Analyzing a Stock by Its Dividend and Shareholder Yield
August 2016 by Charles Rotblut
Both dividends and stock buybacks can be used to assess a stock’s attractiveness; higher relative shareholder yields have historically led to better stock returns.

Tapping Into the Dividend Well: Reinvesting With DRIPs
July 2016 by Matthew Bajkowski
DRIPs offer many advantages to the individual investor interested in maximizing returns from long-term growth.

The Weiss Approach to Value in Blue-Chip Stocks
June 2016 by Jaclyn N. McClellan
Geraldine Weiss’ approach seeks dividend-paying, blue-chip stocks with attractive yields, growth and financial soundness.

The Weiss Blue-Chip Screen Finds Value in Any Market
June 2016 by Jaclyn N. McClellan
In this issue, we delve deep into Geraldine Weiss’s approach to finding high-quality dividend-paying companies by outlining specific screening criteria, using AAII’s Stock Investor Pro to illustrate the screen-building process.

DRIP Investing Resources
October 2015 by Jaclyn N. McClellan
Check out these useful websites for info on stocks with dividend reinvestment plans and direct investment plans.

The Power of Compounded Growth and Reinvested Dividends
June 2015 by Lowell G. Miller
A high starting dividend, sustainable dividend growth and dividend reinvestment can result in a large yield on original investment (YOI).

Dividends Are Still Valuable
May 2015 by John Buckingham
Not only have dividend-paying stocks realized higher long-term returns, they also tend to rise prior to and after an interest rate increase.

Researching Dividends
May 2015 by Jaclyn N. McClellan
Discover important websites to use when conducting dividend research and analysis.

Assembling a Covered Call Portfolio on Dividend-Paying Stocks
June 2014 by Ben Branch
Dividend-paying stocks are attractive candidates for option writing since the goal of a covered call portfolio is to generate income.

Calculating Intrinsic Value With the Dividend Growth Model
March 2014 by Joe Lan
An estimate of a dividend-paying stock’s fair value can be calculated using accessible data and assumptions with this model.

Dividend Payout Ratio
July 2013 by CI Staff
Knowing how much in earnings is paid out as dividends can tell you a lot about a firm’s stability and prospects.

Lowell Miller’s Best Dividend Screen
June 2013 by John Bajkowski
Portfolio manager Lowell Miller says the best dividend stocks combine growth, reasonable valuations, financial strength and price momentum.

Dividend Resources
October 2012 by CI Staff
Websites devoted to providing information on dividend-paying stocks and tools for selecting among them.

Dividend.com
July 2012 by CI Staff
Dividend.com is a reasonably comprehensive dividend-oriented website that does everything from educating investors to providing stock recommendations and a dividend stock screener.

Introducing AAII Dividend Investing
January 2012 by Charles Rotblut
AAII Dividend Investing is a new service designed to help you become a more successful dividend stock investor.

Investing in Asia for Dividend Income
October 2011 by Charles Rotblut, Jesper Madsen
Going overseas for income can give exposure to stronger dividend growth. This fund manager explains what to look for when analyzing Asian stocks.

Screening With the Big, Safe Dividend Formula: The Advanced BSD Approach
October 2011 by Wayne A. Thorp
Recreating Charles Carlson’s advanced approach for seeking stocks with a safe and growing dividend and growth potential.

Chasing Dividend Yield for Income: Three Reasons to Be Wary
July 2011 by Rod Greenshields
Declines in overall yields may result in dividend strategies failing to provide adequate levels of income for retirees.

Screening With the Big, Safe Dividend Formula
July 2011 by Wayne A. Thorp
Charles Carlson’s stock-picking approach seeks stocks with above-average growth potential and a safe and growing dividend.

DRIP Wizard
September 2010 by CI Staff
Website of dividend reinvestment plan (DRIP), stock, and mutual fund investment management program also offers free DRIP screener.

Screening for Stocks With High Relative Dividend Yields
September 2010 by Charles Rotblut
This AAII.com screen identifies stocks with yields that are above their historical averages and that have histories of rising dividend payments.

Dividend Safety Signs and Warning Flags
June 2009 by Maria Crawford Scott
Many investors have sought shelter from the stock market storm in more mature dividend-paying companies. But in this market environment, how can you be sure a company has the financial resources to continue payments? Signs and warning flags you can use to evaluate the safety of a company's dividend payment stream.

Investing in Stocks With DRPs: Adding Yield to Your Returns
June 2009 by Wayne A. Thorp
A value approach to screening for the stocks of companies that offer dividend reinvestment plans (DRPs). The AAII screen tracks companies from both DRP and non-DRP universes

The Dividend Puzzle: The Relationship Between Payout Rates and Growth
May 2009 by Stanley Block
Do moderately high dividend payments increase or diminish stock values? The studies are mixed, but a look at the recent performance of stocks in the Dow indicates that firms with yields over 2% may indeed provide better capital appreciation.

The First Cut: Dividend Achievers
July 2008 by John Bajkowski
A starting point for investors. This issue's focus is on finding stocks with the highest long-term dividend growth rate, and stocks with the highest yields.

Dividend Reinvestment Plans: Value Investing With a Dividend Boost
June 2007 by Wayne A. Thorp
Dividend reinvestment plans offer investors a low-cost approach to investing in dividend-paying stocks. How should you screen these firms? A look at a high-yield approach.

The First Cut: Attractively Priced Dividend Growth
July 2006 by AAII Staff
The top 30 stocks that pass a screen focusing on mid- to large-cap dividend growers trading at good values.

A High-Yield Approach to Value Investing
June 2006 by Wayne A. Thorp
Dividend-paying stocks can provide a beneficial diversification component to aggressive, high-growth stock portfolios. How should you screen dividend reinvestment plan stocks? A conservative high-yield approach.

Bypassing the Broker: AAII's 2006 Guide to Direct Purchase Plans
June 2006 by Cara Scatizzi
Buying stock with little or no commission is the major attraction of direct purchase plans. This year’s annual guide lists 460 dividend reinvestment plan companies that will sell their initial shares directly to the public.

Bypassing the Broker: AAII's 2006 Guide to Direct Purchase Plans
June 2006 by Cara Scatizzi
Buying stock with little or no commission is the major attraction of direct purchase plans. This year’s annual guide lists 460 dividend reinvestment plan companies that will sell their initial shares directly to the public.

A Conservative Approach to Screening for High Dividend Yields
June 2005 by Wayne A. Thorp
Dividend-paying stocks provide a bit of a safe harbor during market tempests. Our high-yield screen offers a conservative approach to investing in dividend-paying stocks.

Low-Cost Investing: A Guide to Dividend Reinvestment Plans
June 2005 by AAII Staff
Buying stock with little or no commission is the major attraction of dividend reinvestment plans. This year's annual guide lists over 300 companies that will sell their initial shares directly to the public.

Basic Ratios for Building a Dividend-Based Stock Portfolio
May 2005 by Don Schreiber
Stock prices rise and fall. But there is one constant in stock investing, and that is dividends, which arrive every quarter. How do you build a portfolio of solid dividend-paying stocks? The building blocks you need to get started.

Implementing a Dividend Yield Screen
July 2004 by Wayne A. Thorp
How to find undervalued stocks with a strong dividend history using AAII’s Stock Investor Pro and four Web-based stock screening services.

Investing in DRPs: A Guide to Dividend Reinvestment Plans 2004
June 2004 by AAII Staff
Stock Strategies: Buying a stock with little or no commission is the major attraction of dividend reinvestment plans. This year's annual guide lists nearly 300 companies that will sell their initial shares directly to the public.

Keep the Dividends Flowing: Screening for DRPs
June 2004 by Wayne A. Thorp
AAII Stock Screens: Selecting from a universe consisting only of firms offering dividend reinvestment plans can result in a concentrated portfolio. But DRPs can provide a beneficial diversification component to aggressive, high-growth stock portfolios.

Good News/Bad News: For Dividends, New Tax Law Means Lower Rates But More Headaches
April 2004 by Ellen J. Boling
Most dividend income is now taxed at more favorable rates, but investors may be surprised at nuances of the new rules. What to watch out for under the Tax Relief Act of 2003.

The Importance of Dividends in a Low-Return Environment
April 2004 by John Snare
Many analysts believe stock returns over the next several years will be well below the historical average. What strategies worked in previous low-return environments? A look at the last flat market--1965 to 1982.

The Weiss Approach: Finding Value in Dividend-Paying Blue Chips
April 2004 by John Bajkowski
A review of the Geraldine Weiss screen to identify sound companies trading at reasonable dividend yield valuation levels.

On the Internet: Info on DRP Plans
September 2003 by CI Staff
Use these handy sites for explanations of how dividend reinvestment plans work and which companies offer them.

Investing in DRPs: A Guide to Dividend Reinvestment Plans
June 2003 by AAII Staff
A major attraction of a dividend reinvestment plan is the opportunity to buy shares with little or no commissions levied. Many companies sell initial shares directly to investors so that no purchases need to be made through a broker.

An Interview With Jim Beers, Stratton Monthly Dividend REIT Shares Fund
November 2002 by Maria Crawford Scott
Investing for current income uncovers value in the REIT market.

Dividends Count: Screening for Undervalued Stocks With Lower Risk
October 2002 by John Bajkowski
If a stock's price rises faster than its dividend, the dividend yield will fall, indicating the price may have been bid up too far. Conversely, if the yield rises to a high level, the stock may be poised for an increase.

DRP Stock Characteristics and How to Implement a High-Yield Screen
June 2002 by Wayne A. Thorp
During bear markets, dividend-paying value stocks tend to outperform growth-oriented issues. This is echoed by the price-earnings ratios of the DRP and non-DRP universes, 19.6 and 18.9 respectively.

Individual Investor's Guide to Dividend Reinvestment Plans 2002
June 2002 by AAII Staff
The major attraction of a dividend reinvestment plan is the opportunity to buy shares with little or no commissions levied. Over a third of the DRP companies will sell the initial shares directly to the public.

Do Dividends Still Matter? Yes—And Here's Why
August 2001 by Donald Cassidy
Stock Selection Strategies: Even in the extraordinary market climate of the past several years, dividend actions have been strong predictors of stock-price action. Dividend yields also provide a cushion under prices when stocks go through sinking spells.

DRP Stock Characteristics and a High-Yield Contrarian Screen
June 2001 by Kenneth J. Michal
Stock Screening: Companies that offer dividend reinvestment plans tend to be larger and more mature firms, with a heavy concentration of cyclicals. Investing only in DRP companies would exclude firms in smaller, high-growth industries.

The Individual Investor's Guide to Dividend Reinvestment Plans, 9th Edition
June 2001 by AAII Staff
Feature: The major attraction of a dividend reinvestment plan is the opportunity to buy shares with little or no commissions levied. And this year, over a third of the DRP companies will sell the initial shares directly to the public.

Screening for Firms Offering Dividend Reinvestment Plans
June 2000 by Kenneth J. Michal
Stock Screening: Firms with dividend reinvestment plans offer investors advantages. But make sure you are optimistic about the stock's performance, not just enticed by the dividend reinvestment plan.

The Individual Investor's Guide to Dividend Reinvestment Plans, 8th Edition
June 2000 by AAII Staff
Feature: The major trend in dividend reinvestment plans is the increase in the number of companies that will sell the initial shares directly to the public. Details on the 974 firms that offer dividend reinvestment plans.

Smart Investing in REITs: Avoiding the High-Yield Trap
November 1999 by Donald Cassidy
Dividend Stocks: One out-of-favor group that represents value and provides an attractive cash flow is REITs. However, REITs come in several varieties with differing risks and attractions.

Investing in Utility Stocks: It's a Brave New World
August 1999 by Donald Cassidy
Dividend Stocks: Competition in electric, gas, and telephone service means that a utility company providing an essential service is not guaranteed to do so profitiably enough to pay assured dividends.

Characteristics of Stocks with Dividend Reinvestment Plans
July 1999 by Kenneth J. Michal
Stock Screening: Firms with dividend reinvestment plans offer investors advantages. But make sure you are optimistic about the stock's performance, not just enticed by the dividend reinvestment plan.

The Individual Investor's Guide to Dividend Reinvestment Plans, 7th Edition
June 1999 by AAII Staff
Feature: The major trend in dividend reinvestment plans is the increase in the number of companies that will sell the initial shares directly to the public. Details on the 882 firms that offer dividend reinvestment plans.

Equity-Income Investing: Beware of Yield Overreaching
May 1999 by Donald Cassidy
Income Stocks: An income-oriented equity paying a no-growth dividend carries the downside of a bond without a bond's income or principal guarantees. A steady dividend rate is not good enough; steady dividend growth should be your standard.

Investing for Income in a Low Interest Rate Environment
February 1999 by Robert D. Siefert
Portfolio Strategies: The dilemma for retirees: How do you invest for a desired rate of return in excess of that which is attainable from interest and dividends?

Characteristics of Firms with Dividend Reinvestment Plans
June 1998 by John Bajkowski
Stock Analysis Workshop: Common traits of firms in the 1998 dividend reinvestment guide, and how to build a screen based on DRPs.

Record Low Dividend Yields: Is It a Bane or a Blessing?
June 1998 by H. Bradlee Perry
Feature: Skyrocketing stock valuations and declining payout ratios have resulted in the lowest dividend yields in decades. The news for investors--mostly good.

The Individual Investor's Guide to Dividend Reinvestment Plans
June 1998 by AAII Staff
Feature: AAII´s 6th annual listing of companies with dividend reinvestment plans describes DRP plan mechanics and provides details on the plans for 877 firms, 182 of which allow investors to buy their initial shares directly from the company.

DRP Newsletters and Stock Purchasing Services
June 1997 by Jean Henrich
Reference: Newsletters, directories, and Web sites that list companies with dividend reinvestment plans and services that help investors buy their first share directly.

The Individual Investor's Guide to Dividend Reinvestment Plans, 5th Edition
June 1997 by AAII Staff
AAII's 5th annual listing of companies with dividend reinvestment plans can be found in the middle of this issue.

Investment Characteristics of Firms With Dividend Reinvestment Plans
June 1996 by John Bajkowski
Stock Analysis Workshop: A look at the investment characteristics of companies that offer dividend reinvestment plans.

The Individual Investor's Guide to Dividend Reinvestment Plans, 4th Edition
June 1996 by AAII Staff
AAII's 4th annual listing of companies with dividend reinvestment plans can be found in the middle of this issue.

Stock Dividend Information
January 1996 by Jean Henrich
The resources listed here report on dividends paid by common stocks.