Companies that consistently pay out higher than average cash dividends are classified as ____ stocks.

Question

Quizplus · Accepted Answer

Companies that consistently pay out higher than average cash dividends are usually sought after by investors who are looking for a reliable stream of income. Hence, such companies are classified as income stocks. The other options - blue-chip, growth, and defensive - do not necessarily have a direct association with high dividend-paying companies.

Companies That Consistently Pay Out Higher Than Average Cash Dividends