With a Yield of Almost 10%, Is This Dirt Cheap Dividend Stock a Buy in 2024?
Let's do a little back-of-napkin math to understand the value of a 9.5% dividend yield. Assuming all dividends received are reinvested at the same yield and no share price appreciation, a $10,000 position would soar to $20,669 in just eight years, more than doubling your money based on dividends alone. And in 20 years, your position would be worth a jaw-dropping $61,416. Unsurprisingly, such a generous payout strongly appeals to people saving for retirement and other long-term investors.
With that in mind, let's take a deep dive into Altria Group (NYSE: MO) stock to determine whether its 9.5% dividend is the opportunity of a lifetime or a yield trap that won't stand the test of time.
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Source Fool.com
