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Got $10,000? Buy This Dividend Stock for $4,992.40 in Total Passive Income


Published on 2024-12-13 20:41:08 - MSN
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  • Want almost $5,000 in annual passive income? Then you need a company bound for even more growth, with a dividend that's as stable as ever. The post Got $10,000? Buy This Dividend Stock for $4,992.40 in Total Passive Income appeared first on The Motley Fool Canada.

The article from MSN Money discusses the potential for generating passive income through investing in a specific dividend stock, Fortis Inc. (TSX:FTS). It suggests that with an initial investment of $10,000, an investor could achieve significant passive income over time. Fortis, described as a utility company with a stable business model, offers a dividend yield of about 4.3%. If one were to invest $10,000 in Fortis, they would initially receive around $430 in annual dividends. The article highlights that Fortis has a history of increasing its dividends annually for 50 consecutive years, which could lead to substantial growth in dividend income. Over 25 years, assuming the dividend growth rate continues at 5% per year, the initial investment could grow to provide approximately $4,992.40 in annual passive income, showcasing the power of dividend reinvestment and compounding over time.

Read the Full MSN Article at:
[ https://www.msn.com/en-ca/money/savingandinvesting/got-10-000-buy-this-dividend-stock-for-4-992-40-in-total-passive-income/ar-AA1vPNxP ]