Why Target Is a Dividend Investor's Dream
When it comes to income and growth in stocks, investors generally have to choose between the two.
Reliable dividend stocks tend to be mature companies with steady profit streams that are focused on returning cash to investors rather than on growing the core business. Companies like Altria, AT&T, and Coca-Cola are good examples. Growth stocks, on the other hand, tend to prioritize reinvesting cash flow in growth opportunities rather than paying dividends and believe they can deliver greater returns to investors that way. Tech companies like Facebook and Amazon offer a good example of this business model.
Image source: Target.
Source Fool.com
