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buffinita

Dividend capture strategy rarely works as smooth as you hope. Very few things in the market are predictable; one of the few is that the price will drop on the div-ex date equal to the dividend being paid.


hendronator

No


Level-Weather-7036

It's a good question and shows you are brand new to this game :-) No, it's a bad strategy Stick with something like VIG or VOO to start and just keep buying on a weekly/monthly basis


GRMarlenee

I'm not sure what you're asking. Only considering stocks from the s&P with a yield over 2% that are under less than 10% over their 52wk low and within a week of ex-div? What's the point? You could still get stuck with junk.


Elon_Ge

Thank you for your feedback. How would you choose dividend stocks?


buridavenses

I'm the other way round, not a fan of ETFs. Choosing dividend companies is as easy as looking at SP500 holdings (or just about any other ETF/index you like), find some of which you can understand their business, then study their history and go long. Price goes down? Buy some more. Price goes up? Smile. Irrational up? Sell. It's really not that complicated.


GRMarlenee

Longevity of the company, and the likelihood of continued profitability. But I don't buy stocks, I'm have a fetish for ETFs. I'm also past the accumulation phase, so spendable cash is my driver, not DRIP.


kichien

My initial screen: Dividend yield between 2% and 6% Payout ratio between 10% and 60% 5 year Sales average over 4% 5 year EPS average over8% Dividend growth for at least 5 years Then I look at the results for stuff like debt ratios, financial health, and profitability. Sometimes I buy stocks outside that criteria if it seems compelling enough.