The Smartest Dividend Stocks to Buy With $400 Right Now
If you want to add some dividend-paying stocks to your portfolio, you don't have to break the bank to find some great options. In fact, there are plenty of high-yield, low-priced stocks out there that can provide a nice stream of income without costing you a fortune. If you have $400 to invest in income-generating stocks this month, that's more than enough to get a healthy dividend flow going.
You may have noticed that many semiconductor stocks have taken a particularly hard hit lately. The good news is that the industry's manufacturing capacity shortage is easing up, which suggests that lagging top-line growth and slim bottom-line earnings should improve over the next couple of years. Hence, I think it's smart to snag some high-quality chip stocks to lock in those generous dividend yields.
Wireless communications specialist Qualcomm (NASDAQ: QCOM) has a long history of consistent dividend payments and has systematically increased its dividend over time. The payouts have tripled in 10 years. The company has a strong financial foundation, with a 45% return on invested capital over the last four quarters and somewhat uneven but reliably positive free cash flows. That robust flow of cash profits is fertile ground for continued dividend increases.
Source Fool.com
