I’m 73, divorced, comfortable pension & collect Social Sec. I am now interested in buying stock in Walgreens because of the quarterly dividends it offers. Am I being foolish
Terry Says: Well, dividends are one good reason to buy a stock — but a lot can impact those dividends. Walgreens is in the middle of a cutting process under a new top management. I don’t make stock recommendations (and full disclosure, I have owned Walgreens stock for years). But if all you’re looking for is dividend yield, you might want to diversify the risk of a falling stock price by buying an Equity-Income fund — offered by T. Rowe Price (I own that one!) or Vanguard or Fidelity. For more information on dividend stocks please go on Amazon and get one of the best books on stock investing — Chuck Carlson’s “Little Book of Big Dividends.” (More full disclosure: I wrote the preface to this book!) And, as always, any investment in the stock market has risk — and should be considered only in the context of your entire financial picture and risk tolerance.