Investing 101: Dividend and conquer

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Investing is a good way to make some extra money, and the stock market, although risky, can be a great option to bring in that cash.

Investing in the stock market means that you are buying a share, or a portion of ownership, of a company. When investing in the stock market, the biggest source of your return on investment, or how much money you earn, comes from selling your shares for more than you bought them for.

For example, if you buy a share of a company for $50, and then later sell it for $80, you just made $30!

However, this is not the only way to make money through your investments. Some companies offer a dividend to their shareholders.

Put simply, a dividend is money paid to a company’s shareholders per share from that company each year. This is how a publicly traded company — meaning a company that you and I can invest in — can share profits with its individual investors. Just by owning a (very small) piece of a company, you can make money each year — not just when you sell.

Here are some well-known companies that offer a competitive dividend to go along with strong prospects for future growth.

Note: Current values per share are based on information available at 3:00 p.m. Central Time on Oct. 24. You can find up-to-date information at www.nasdaq.com.


Delta Airlines (DAL)

Current value per share: $51.51
Current dividend: $1.40 (2.58 percent)

Delta pays a dividend of over 2.5 percent, which is fairly high for a well-established company. After meeting or exceeding earnings projections in the first three quarters of 2018, Delta is in a good position to keep climbing.

If you decide to buy one share of Delta, which costs $51.51, you will earn $1.40 as a dividend. Dividends are often paid quarterly, and those payments could be used to fund further investments with virtually no effort on your end!

Microsoft (MSFT)

Current value per share: $102.32
Current dividend: $1.84 (1.66 percent)

Microsoft is one of my favorite long-term stocks to own, and the company is involved in seemingly everything in our increasingly technological world. From cloud storage to computer software, the demand for Microsoft’s services isn’t going anywhere anytime soon. The dividend doesn’t hurt matters either, and with one share costing about $102, you’ll be making $1.84 in dividends.

The Kraft-Heinz Company (KHC)

Current value per share: $55.78
Current dividend: $2.50 (4.61 percent)

Kraft-Heinz has one of the highest dividends of any publicly traded company at 4.61 percent. However, unlike the first two companies, KHC carries a little more risk. In the past year, the stock has gone down 25 percent, and there have been questions about whether the dividend could be reduced in the future. But for now, its dividend is hard to beat.


As you continue along your investing journey, keep in mind there is more than one way to invest and make money. While investing in the stock market may seem overwhelming and risky, it has the potential to greatly benefit you if the market does well.

For example, in October of 2016, I bought Amazon stock at $837.96 a share. Sounds expensive, right? Well, if I were to sell that today, I would double my money. Investing isn’t without risk, but if you go in with a plan, it can be well worth your while.

If you plan on investing in the stock market, be sure to check out which companies offer dividends, and which don’t. That extra money can add up over time in a big way!