| Stock
Dividend |
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A
cash payment using profits that's announced by a company's board of
directors to be distributed among stockholders. Dividends may be in
the form of cash, stock or property. All dividends must be declared
by the board of directors.
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Most
secure and stable companies offer dividends to their stockholders.
Their share prices might not move all that much but the dividend makes
up for this. High growth companies don't offer dividends because all
their profits are reinvested to help sustain growth. |
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