Even With Rising Treasury Yields, I'd Still Rather Buy This Unstoppable Dividend Stock for Passive Income.
Target has become a high-yielding growth-and-income stock.
Overview
The yield on the 10-year Treasury is currently hovering close to 5%. On the surface at least, that level of return undermines the case for dividend stocks. Since Treasuries are effectively risk-free, their returns are guaranteed, whereas dividend stocks do not guarantee share price gains or dividend payments.
Fortunately, I own a high-yielding dividend stock that is on the rise. Despite the fact that the increasing stock price has reduced the yield to well below 5%, I believe investors are better off holding that stock than buying Treasuries. Here's why.
Image source: The Motley Fool.
Details
Source
Originally published at www.fool.com.
Related Articles
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Data may be delayed up to 15 minutes. Past performance is not indicative of future results. Consult a licensed financial advisor before making investment decisions.