Diary of a Dividend Diva: A Tale of Two Dividends

The dividend flow continues to be exceptional as we approach the end of dividend season, which is roughly coincident with earnings season, but a couple really stood out, making for a good case study in how to execute the dividend-capture strategy. The dividends are nearly identical, but the names could hardly be more different, creating a dramatic tension as to which is the best use of your capital.

On Feb. 27, both Lockheed Martin (LMT) and Lorillard (LO) will go ex-dividend, entitling shareholders of each to a dividend that is 1.3% of the current stock price. Lorillard will actually pay on March 11, while Lockheed will pay on March 29. If you consider stocks just a piece of paper, these dividends are identical twins. How to decide which one to capture?...572 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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