Investors tend to gravitate toward low-dollar stocks for multiple reasons, but they’re not usually known for offering high dividend yields. That’s why I look for companies trading under $10 that offer attractive “starter dividends.”
The current yield might not stand out in these cases, but that’s often because the underlying stock has been a steady gainer. If management is growing the business and rewarding investors with a relatively new dividend, these stealth names can quickly build wealth both through higher prices and a growing payout.
Starter Dividend Under $10 No. 1: Recurring Revenue Offers Much-Needed Security
ADT (ADT) offers security monitoring services and was taken public in January at $14, by the private- equity firm Apollo.… Read more