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3 Reasons to Avoid Dividend-Paying Stocks


It's easy to see why dividend stocks might appeal to investors. After all, who wouldn't want the chance to sit back, do nothing, and enjoy a steady stream of payments?

But while dividend stocks can serve as a nice means of passive income, they're not automatically a great investment. Here's why it pays to be careful with dividend stocks -- or perhaps steer clear of them altogether.

Image source: Getty Images.

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Source Fool.com


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