Last week, Advanced Auto Parts (AAP) announced a major cut in their dividend. The company  announced lower-than-expected earnings per share and revenue for the first quarter of 2023, citing challenging and competitive dynamics. As a result, they reduced their earnings per share forecast by 40% and cut their quarterly dividend from $1.50 per share to $0.25 per share! This is just one example of how dividends are never guaranteed. Nic explains the potential pitfalls of investing for dividend income and why companies even pay dividends in the first place.

 

Host:

Nic Daniels BFA™, Financial Advisor

 

The Real Money Pros

https://www.therealmoneypros.com

 

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Lively (HSAs and FSAs)

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Tree City Advisors of Apollon:

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