/biz/ - Business & Finance

>>56404524
>Dividend investors like the feeling of watching their income slowly grow.
Wrong. I'll take my cash paid out in 2 years, max. You boomers can stick to your slow growing sugar water.

Quick reminder that dividend growth investors would have you buying KO as a "safe" investment at 30x earnings into a youth population that avoids sugary drinks, and a boomer population that is racing to get drugged up on ozempic.
Meanwhile, they would have you ignoring PBR these past few years because the yield is "too high", its "unsustainable", a "yield trap".

The best rule to successful investing is to use your brain. The quality/profitability factors may lead to some small outperformance, but on the whole dividends are irrelevant.
As a personal exercise, I highly recommend you all do the math on how long it'll take for a 3% yield growing at 5% to outperform a 20% yield today. Spoiler: It never will.