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Some Companies Earn So Much Cash, They're Giving It Away to Stock Owners

Some Companies Earn So Much Cash, They're Giving It Away to Stock Owners

When this happens, some businesses choose to give the extra cash to their shareholders in the form of a dividend. Dividend stocks appeal to a lot of investors because they can provide a steady source of income without forcing you to sell any of the stock you already own. This is called a dividend reinvestment plan, or DRIP.