These 5 Dividend Stocks Turned A $5,000 Investment Into Over $1 Million

I've been using the dividend growth investing strategy for a decade. And it's performed magic. Despite growing up on welfare, not having a college degree, and never having a high-paying job, I retired in my early 30s.

How'd I do it? I took the savings from my very regular car dealership day job and invested it into high-quality dividend stocks. These are stocks that represent equity in world-class businesses. And these stocks pay safe, growing dividends.

It's these safe, growing dividends that I now live off of. But it's not just dividends. Dividend investing sometimes gets a bad rap, as if these stocks are boring and don't grow. Well, that's just not true.

Many high-quality dividend growth stocks grow at incredible rates and beat the market. That shouldn't be surprising. Most of the S&P 500's long-term total return comes from the compounding of reinvested dividends. And today, I'm going to show you five dividend growth stocks that turned a $1,000 investment in each into more than $1 million after 30 years.

Let me set the stage here.

I'm talking about investing just $1,000 into each of these five dividend growth stocks from March 1991 to March 2021. You reinvested dividends along the way but otherwise didn't invest new money. All you had to do after that point was let these five businesses go to work for you and compound your wealth and passive dividend income. Also, I'm not cheating here by starting this time period before these stocks were paying out growing dividends.

Each one of these stocks were sporting measurable dividend growth track records at the time. So this isn't getting in before the growing dividends start rolling in and supposedly slow things down.

And I'm going to show you just how much growth is possible with some of these stocks.

First up, Target (TGT).

This stock turned a single $1,000 investment into slightly over $204,000 between March 1991 and March 2021. Yeah, there's some growth there. The annualized total return is almost 20%.

1 2
View single page >> |

Disclaimer: Please consult with a licensed investment professional before investing any of your money. Never invest in a security or idea featured on this channel unless you can afford to lose ...

How did you like this article? Let us know so we can better customize your reading experience.


Leave a comment to automatically be entered into our contest to win a free Echo Show.