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Here’s How I’m Investing for 6% Dividends and 852% Gains

By Brett Owens

Think itaEURtms impossible to bag 852% gains and a 6% dividend in one stock?

ItaEURtms not only possibleaEUR"itaEURtms easy! IaEURtmm going to give you the three (and only three) simple steps you need to do it yourself today.

LetaEURtms start with the one thing weaEURtmre not going to do: follow the aEURoebuy and hopeaEUR crowd into a fanboy (and girl) favorite like Netflix (NFLX).

In search of big gains, first-level investors crowd into a non-dividend-payer like Netflix, simply because itaEURtms delivered stunning growth in the past. And they almost always dive in when the stock is at the height of its popularity, like last July, when NFLX was scraping all-time highs.

ItaEURtms done this since:

Netflix Buyers Lose the Signal


By this point, our aEURoebuy and hopersaEUR give up, tear up their lottery tickets and lock in a double-digit loss.

ThereaEURtms a better wayaEUR"and it comes back to one word: dividends.

aEURoeThe Biggest Investing Mistake You Can MakeaEUR

I can almost guarantee that your friends arenaEURtmt paying much attention to their portfolioaEURtms dividend stream these days.

ItaEURtms easy to see why: with the average S&P 500 stock yielding a pathetic 1.8%, itaEURtms tough for the aEURoebuy and hopeaEUR crowd to get worked up about dividends. Especially when theyaEURtmre distracted by the quick gains promised by the likes of Netflix, Tesla (TSLA) and, heaven forbid, pot stocks and cryptocurrencies.

But ignoring dividends is, hands down, the biggest investing mistake you can make.

The truth is, a dividend is crucial, especially in this twitchy market. And as IaEURtmll show you shortly, a stockaEURtms current dividend yield doesnaEURtmt mean as much as everyone thinks.

3 Keys to Big Gains (and Dividends) in Any Market

In my Contrarian Income Report service, I stress three key ways a stock can reward shareholders. Find a company thataEURtms doing even one of them and youaEURtmve already got a leg up on the buy-and-hope crowd.

Find one thataEURtms doing all three and youaEURtmve hit the sweet spotaEUR"a stock that can power your income (and gains) in any market.

Here they are:

  1. Paying a dividend today.
  2. Raising the dividend tomorrow (which lifts the share price right along with the payout, as IaEURtmll show you shortly), and aEUR

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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