1 Incredible Stock to Buy for Rising Dividend Income
Because everyone has different investment objectives and levels of risk tolerance, there is no one-size-fits-all approach to investing. For investors seeking a blend of growing passive income and capital appreciation, dividend-growth investing may be a viable strategy. That is because consistently upping a dividend requires increasing profits, which also leads to share price growth over time.
Having parlayed a $5,000 investment in 2013 into $20,000 with dividends reinvested, rural lifestyle retailer Tractor Supply (NASDAQ: TSCO) has a track record of outperformance. By comparison, the same investment amount in the S&P 500 index would now be worth $16,000 with dividends reinvested. Let's elaborate on why the stock remains an excellent buy for dividend-growth investors.
For 85 years, Tractor Supply has sold an extensive line of products to customers at low prices. Along with friendly and knowledgeable customer service, this has helped the company prosper. With nearly 2,400 stores under the Tractor Supply and Petsense banners (the latter of which is a pet supply retailer) in 49 U.S. states, the company is a major specialty retailer.
Source Fool.com
