Buy This Stock Before It Becomes a Dividend Aristocrat
There are several factors to consider when searching for a good dividend stock. Obviously, one of them is a high dividend, but you also want to look at the yield, the payout ratio, and how sustainable that payout is. You also want stability -- a company that has consistently delivered steady or increasing dividends year after year.
Ameriprise Financial (NYSE: AMP) ticks off all those boxes. In fact, Ameriprise has had 14 straight years of annual dividend increases, making it well on its way to becoming a Dividend Aristocrat -- a stock with at least 25 straight years of dividend increases.
As a dividend stock, Ameriprise is a pretty good one. The company is one of the largest wealth managers in the U.S., and it also has an asset management and retirement solutions/insurance business. But most of its revenue -- about two-thirds -- comes from its Advice and Wealth Management business.
Source Fool.com
