Paging Peter Lynch: 3 Dividend Stocks to Buy This August
The dog days of August are upon us. In much of the world, it's time to try to beat the heat and stay cool, and for the stock market, it is typically a relatively sleepy period as earnings season winds down and many investment managers are enjoying vacations before the fall kicks into gear. It's a great time for investors to sit in the shade, take a look at their portfolios, and consider boosting their income by adding some new dividend stocks into the mix.
Investors don't have to scour the ends of the Earth to find some great companies to add to their portfolios. Legendary investor Peter Lynch, who outperformed the broader market for years as the manager of Fidelity's Magellan Fund, championed the idea that investors should invest in what they know and buy stocks of companies that they encounter in their day-to-day lives.
The strategy served Lynch well. For example, an investment in Dunkin' Donuts turned out to be one of the best-performing investments of Lynch's career. He got the idea because he enjoyed its coffee and noticed that the locations he frequented were usually busy, and then followed that up with further due diligence. With this in mind, what stocks might Lynch buy now as the dog days of summer set in? Here are three to consider.
Source Fool.com
