June 22, 2012
"What are some stocks that have a long history of paying dividends?"
That question was posed to us from Musaed via our #AskAFool hashtag on Twitter. In the video below (run time: 3:13), I give my take on dividend-paying stocks in general and provide three examples of long-term dividend champions: Abbott Labs (NYSE: ABT ) , 3M (NYSE: MMM ) , and Procter & Gamble (NYSE: PG ) .
When investing in dividend payers, though, it's not as simple as just checking the yield or even the history of dividend payments. You'll also want to research the stock’s dividend payout ratio -- or, better yet, its free cash flow payout ratio.
In this video series from The Motley Fool, we're tackling basic questions in the hopes of demystifying the investing world. To submit a question of your own, find us on Facebook or Twitter via the #AskAFool hashtag.
New to investing? Click here for The Motley Fool’s special research report detailing the savings habits you need to build long-term wealth, along with three stock ideas to help build a retirement-ready portfolio.