Sample Dividend Yield Analysis

Example of the week

CSCO: Cisco Systems (CSCO) has been paying quarterly dividends since 2011.

History: While its dividend rate increased gradually, its dividend yield has been fluctuating around 3% (minimum 2.4%, maximum 3.7%). When the yield of quality dividend stocks is historically high, it is often an opportune time to buy.

Competitors: Its forward yield of 3.1% is higher than that of all but one of its competitors. It is within the range of 2-4% which is commonly considered attractive to dividend investors.

Alternatives: U.S. Treasurys have current yields between 3.9% and 5.4% and Certificates of Deposit have average Annual Percentage Yields between 1.4% and 1.7%.