Not All Dividend Stocks Are Created Equal!

Read? High Dividend Yield Stocks? - Part 8

Seriously looking at their dividend payout ratios and their growth potential as not all dividend stocks are created equal.

1. Not all Dividend Stocks have high yields

Stock price appreciation and high yields are great for those who bought them cheaper from the past Big Bears, but it doesn't help you if you're buying now. If you want high yield, you must be able to wait patiently for the next Big Bear to give them to you.

2. Not all Dividend Stocks will see their stock prices appreciate quickly

It is a market myth that high tide will rise all boats. In reality, it will not.

3. Not all Dividend Stocks have healthy dividend payout ratios

The key to sustainable dividend growth is to keep dividends as a manageable percentage of net income. A low payout ratio will definitely make it easier for companies to increase dividends without exhausting profits.