this post was submitted on 09 Jul 2023
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Dividend vs Growth Stocks (self.stocks)
submitted 1 year ago by svenjoypro to c/stocks
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With SPY's average ~5% return rate, does it make sense to invest in companies like SJT, MPW, PXD, etc that have over 10% dividends? Companies like ORC which have like 18% dividend, but the underlying stock price continues to fall more that 18% are traps sure, but SJT, MPW, PXD and others that have a decent track record of not losing much (or even gaining) value seem like good investments.

Am I missing something?

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[–] [email protected] 1 points 1 year ago

Probably that SPY pays a dividend. The actual return including reinvested dividends is 7-9%