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/biz/ - Business & Finance

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21810760 No.21810760 [Reply] [Original]

Do any of you guys have experience with dividend stocks? Things to avoid? Tips? I'm tired of the crypto bullshit and just want to get into an honest to God boomer investment. I haven't seen a single thread on IRAs or anything.

>Like oh great, fuckin labiacoin general #220 it's a game where you mine clitcoins and we all get rich- I'm really fuckin sick of it, man.

>> No.21810837

If you're getting into stocks for dividends you're doing it wrong

>> No.21810846

SPHD

>> No.21810870

>>21810837
how come?

>> No.21811472

>>21810760
Go check out the stock market general. It's full of resources. I can probably field some basic questions if you life. What did you want to know about dividends and IRAs?

>> No.21811520

>>21810760
Index funds are generally considered superior. Dividend stocks are particularly risky right now at the top of the market because they're far more slow in their growth phases.

>> No.21811940

>>21811472
Does it come down to risk vs stability? Index or growth stocks offer more earnings but are more volatile, whereas dividends are more stable long term? I'm also wondering what some red flags or things to avoid would be when it comes to choosing what to invest in.

>> No.21812091

>>21810760
If a company gives regular dividends of ~$1 quarterly, calculate how much you need every 3 months, then multiply that tines the company price and that us roughly how much you need to invest to retire from dividends.

Doable, but its definitely a long game.

>> No.21812257
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21812257

>>21810760

>> No.21812261

>>21811940
Risk and stability definitely play a part. A company with a high dividend return will be viewed as sound and will attract people which will further solidify the stock. On the flip side, if a company is doing poorly financially, one way to recoup loses is to stop giving dividends, which can be viewed a number of different ways, but is generally not a good sign.
Stock prices fall after dividends are paid to reflect the payout, so that's something to look out for if you like a particular stock and have been waiting for an entry point.
Index funds aren't necessarily more volatile, but they do generally outperform most individual traders, so if you don't want to think about it too much it's a good bet.
"Dividend Stocks" aren't necessarily risky or safe right now. I would consider apple to be a very stable company, and they just paid out dividends.
You need to decide whether you're interested in trading or investing. With trading you'll be chasing individual stocks, making gambles, and paying close attention to the news and market conditions. If you're investing you can still buy individual stocks, but you'd probably be better off getting into an etf which doesn't have a crazy buy-in. You'll still need to pay attention to things, but you can take a more relaxed approach. Investors are bagholders and view dips as an opportunity to pick up discounted stock. Traders hang themselves when robinhood lags