Is Bank of America the Long-Term Stock for You?

1 min read

The past five years have been difficult for dividend investors. In an era of widespread tech disruption, the market has favored growth stocks that largely don’t pay dividends. At the same time, many mature companies that do pay high dividends are usually threatened by that disruption. And dividend payers that do have strong businesses tend to trade at very high valuations. 

But the banking sector is one area where investors can find dependable, rising dividends at reasonable valuations today. Technology growth stocks, last year’s winners, have sold off on fears of higher interest rates, but most large banks stand to benefit from rising rates, which can boost their net interest margins. As such, banks may be excellent havens for risk-off older investors and retirees today. Among banks, perhaps none is better-suited for this risk-off cohort than Bank of America (NYSE: BAC).

Image source: Getty Images.

Continue reading

Leave a Reply

Your email address will not be published.

Previous Story

Could Aurora Cannabis Be a Millionaire-Maker Stock?

Next Story

3 Great Reasons to Take Social Security Benefits at 62

Latest from Blog