Show Me The Growth! 3 Reasons Why Dividend Stocks Are Losing Favor In Choppy Times
Portfolio Pulse from Shanthi Rexaline
Investors are shifting their focus from dividend-paying stocks to growth-focused tech stocks, according to Ned Davis Research. Non-dividend-paying stocks in the S&P 500 have outperformed dividend stocks, with an 18% gain compared to a 4% gain for income stocks in 2023. Companies like Nvidia Corp. and Apple, Inc., which have low dividend yields, have seen significant share price increases. The poor performance of dividend stocks is attributed to the pullback in regional banking stocks and the decline in energy stocks due to lower crude oil prices.
July 03, 2023 | 9:16 am
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POSITIVE IMPACT
Apple, Inc., a non-dividend-paying stock, has seen a significant increase in its share price this year.
The shift in investor preference towards growth-focused tech stocks has benefited Apple, Inc., leading to a rise in its share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
POSITIVE IMPACT
Nvidia Corp., a non-dividend-paying stock, has seen a significant increase in its share price this year.
The shift in investor preference towards growth-focused tech stocks has benefited Nvidia Corp., leading to a rise in its share price.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Citizens Financial Group, Inc., a dividend-paying stock, has seen a significant decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Citizens Financial Group, Inc., leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Comerica Inc., a dividend-paying stock, has seen a significant decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Comerica Inc., leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Occidental Petroleum Corp., a dividend-paying stock, has seen a decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Occidental Petroleum Corp., leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Valero Energy Corp., a dividend-paying stock, has seen a decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Valero Energy Corp., leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Exxon Mobil Corp., a dividend-paying stock, has seen a decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Exxon Mobil Corp., leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80
NEGATIVE IMPACT
Zions Bancorp, a dividend-paying stock, has seen a significant decrease in its total returns this year.
The shift in investor preference away from dividend-paying stocks has negatively impacted Zions Bancorp, leading to a decrease in its total returns.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80