26 Things Every Dividend Investor Should Know

1. Dividend Coverage:

Dividend coverage is a measure that highlights the company’s ability to support its dividend payments through its earnings or cash flows. A higher dividend coverage ratio shows that the company has ample cash to fulfill its dividend payments, while a lower ratio suggests that the company’s dividends are less sustainable and it may be at risk of reducing and suspending its dividends.

Disclosure. None. 25 Things Every Dividend Investor Should Know is originally published on Insider Monkey.