One of Bitcoin’s First Millionaires Issues Controversial Warning

On Monday, September 21, at 4 p.m. ET, Matt McCall will sit down with this bitcoin tycoon to warn the public about an urgent event about to rock the crypto world.

Mon, September 21 at 4:00PM ET

11 Dividend Stocks to Sell Right Away

Consult my Dividend Grader for the latest dividend stock ratings

Nowadays, the stock market yields more than the bank. Thanks to the Fed’s monetary stimulus, interest rates and bond yields have fallen to paltry levels, making dividend yields all the more attractive.

But while I’m a fan of juicy dividend yields myself, a word to the wise: You should never pick stocks based on just their dividend.

While high dividend yields can be attractive, that shouldn’t be the only thing you’re looking for when picking stocks.  With some companies, a high dividend yield isn’t always a good thing: Sometimes a high yield is actually caused by a drop in stock price.

Moving beyond the yield and current dividend payment, you want to look at the company as a whole and its history of dividend payments. Consistent and steadily increasing payments are a prime sign of a strong company that makes dividends work for you.

And above all else, before buying any stock, you need to take a hard look at its fundamentals. You can do this by running your stocks through my Dividend Grader tool.

Like Portfolio Grader, you can enter your tickers and get my buy, hold or sell recommendation in an instant. The difference is that Dividend Grader focuses on four characteristics that are essential to identifying healthy dividend stocks: Dividend Trend, Dividend Reliability, Forward Dividend Growth and Earnings Yield.

To arrive at the Total Grade, I blend the results of the four dividend grades and make the final buy, hold or sell recommendation.

To get you started, I’ve run the top dividend stocks in the S&P 500 through both Dividend Grader and Portfolio Grader and I’ve come up with no fewer than 11 stocks that need to be sold right away.

So it just goes to show that dividends alone won’t ensure profits in this market—we all need to pay attention to fundamental metrics as well.

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