The great thing about reliable dividend stocks is that they continue to deliver cash flow during any economic situation. Bullish cycles result in high gains and dividends that serve as a bonus. When the stock market goes through a correction, dividend reinvestments allow you to accumulate additional shares.
Some dividend investors value income and look for the opportunities that offer the highest yields. However, if you’re looking for the hottest dividend stocks that have a realistic chance of outperforming the stock market, the yields probably won’t be high. You’ll have a difficult time finding any stock that yields above 2% and outperforms the market over a 5-year stretch.
Dividend growth stocks often make up for their low yields with double-digit dividend growth rates. Wondering which stocks offer a steady stream of dividends while beating benchmarks like the S&P 500? These are some of the hottest dividend stocks in the market right now.
This post appeared at Dividend Stocks Research.