Is Bristol Myers Squibb's Dividend Too Good to Be True? Here's My Honest Answer
Sometimes you need to look beyond the numbers to get the full story.
Overview
When dividend yields start to creep up, it's worth taking a closer look for any potential warning signs. Bristol Myers Squibb (NYSE: BMY) is a leading pharmaceutical company and has been a high-yield dividend stock for some time. Shares have averaged a dividend yield of 3.4% over the past decade.
However, that yield has been abnormally high for most of the past two years. The stock yields 4.1% today, and it's been as high as 6% over the past 24 months. Is the dividend simply too good to be true at this point?
Details
My take is that the dividend is fine right now, but that you'll also need to watch out for potential hurdles as key drugs lose patent exclusivity over the next few years.
Source
Originally published at www.fool.com.
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