Is This Blue Chip Stock a Buy for Income Investors?
Investing for income is as simple as picking companies with dividends that are well covered by earnings power and recession-proof business models. That's because these two characteristics allow for steadily growing passive income as the years unfold.
Few can boast the consistency of Minneapolis, Minnesota-based General Mills (NYSE: GIS) , a consumer staples company that's paid dividends to its shareholders for 120 years straight. But can this streak continue, and is the stock an appetizing buy for income investors? Let's drill down into General Mills' fundamentals and valuation to try to get some answers.
With nine billion-dollar brands, including Cheerios cereal, Yoplait yogurt, and Totino's frozen pizzas, General Mills is embedded into the daily routines of households around the world. The essential nature of these products to millions of consumers led to General Mills' strong financial results for the first quarter (ended Aug. 28) of its current fiscal year.
Source Fool.com
