# What is this stock statistic called?

**URL:** <https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442>\
**Category:** Factual Questions\
**Created:** [April 24, 2002, 9:56pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442 "2002-04-24T21:56:58Z")\
**Posts on this page:** 5\
**Page:** 1

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**Author:** ![drachillix](https://avatars.discourse-cdn.com/v4/letter/d/48db29/32.png) [@drachillix](https://boards.straightdope.com/u/drachillix)\
**Post date:** [April 24, 2002, 9:56pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442/1 "2002-04-24T21:56:58Z")

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I am looking for a stock to buy, in small quantities that has a decent dividend return. I know there are often better routes to invest but I am looking for a simple income generator that I can just keep picking up a few shares at a time and eventually have a decent little check every few months.

What would be the term for a high rate of historical dividends for the price per share. Any suggestions for stocks I might want to look at would also be appreciated. I would be looking for a long term hold with best case dividend income.

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**Author:** ![ShibbOleth](https://avatars.discourse-cdn.com/v4/letter/s/848f3c/32.png) [@ShibbOleth](https://boards.straightdope.com/u/ShibbOleth)\
**Post date:** [April 24, 2002, 10:44pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442/2 "2002-04-24T22:44:53Z")

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The rate of return of the dividend versus the stock price is called the yield. Historical yield would be this measure over a period of time.  
Warning: In stocks (and investing in general), past performance may not predict future performance.

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**Author:** ![Lure](https://avatars.discourse-cdn.com/v4/letter/l/ba8739/32.png) [@Lure](https://boards.straightdope.com/u/Lure)\
**Post date:** [April 24, 2002, 10:52pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442/3 "2002-04-24T22:52:07Z")

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I think it’s income stocks of which utilities seem the most popular.They must pay specific dividends to their shareholders.

Alternatively there’s growth income such as bluechips that pay a dividend plus have a reasonable expectation of share price growth.One example would be Phillip Morris which had abt.a 2 1/2 pc.dividend a year or 2 back.Haven’t followed the market much lately since the Bush term began.

How you’re thinking of buying (every other month or so is called dollar cost averaging.uys you more shares when price is down les when price is high-a method many advisors swear by.

www.motleyfool may be a good website for the conservative investor to check out.Lots of info there.[http://www.motleyfool.com](http://www.motleyfool.com)

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**Author:** ![yabob](https://sea3.discourse-cdn.com/straightdope/user_avatar/boards.straightdope.com/yabob/32/2821_2.png) [@yabob](https://boards.straightdope.com/u/yabob)\
**Post date:** [April 24, 2002, 10:53pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442/4 "2002-04-24T22:53:16Z")

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Take with a very large grain of salt, but you may be interested in REIT stocks, given your stated goals:

> **[Stock Focus: Real Estate Investment Trusts](https://www.forbes.com/2001/05/01/0501sf.html)**
>
> Real estate trusts can provide stability and healthy dividends--if the real estate market doesn't collapse.

REIT’s traditionally have high yields.

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**Author:** ![wardzone](https://avatars.discourse-cdn.com/v4/letter/w/a183cd/32.png) [@wardzone](https://boards.straightdope.com/u/wardzone)\
**Post date:** [April 25, 2002, 5:12pm UTC](https://boards.straightdope.com/t/what-is-this-stock-statistic-called/105442/5 "2002-04-25T17:12:32Z")

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One thought is to search for stocks paying an increasing dividend. If you are some time from retirement you might realize a greater income through the increase (never guaranteed, but generally habitual) rather than going for a high (and perhaps unsustainable) current dividend yield. This also gives you the only possibility of which I’m aware for receiving a rising income during retirement.

Although I have not had much luck with their recommendations, the ValueLine reports do have this information available. These can be found in most larger libraries.

Since none of dividends, dividend growth or increasing stock price are in any way guaranteed, you should consider diversifying your portfolio by purchasing several different stocks, ideally in different industries.

Finally, you might do your search, then check with [www.netstockdirect.com](http://www.netstockdirect.com) to see if the stock you decide upon can be bought directly from the company. Saving commissions to buy a stock that doesn’t meet your criteria is silly, but it also makes little sense to pay one if you don’t have to.
