Which of the following is the most typical example of a zero-growth dividend stock?

Question

Quizplus · Accepted Answer

Preferred stock of a utility company is the most typical example of a zero-growth dividend stock because utility companies are known to have stable earnings and cash flows, making it easier for them to pay consistent dividends without the need for growth. Biotechnology, health care, and information technology industries are more likely to have higher growth potential and therefore are not typical examples of zero-growth dividend stocks.

Which of the Following Is the Most Typical Example of a Zero-Growth