From Nasdaq:

Meta Platforms, also known as Facebook, has announced a small dividend of $0.50 per share, which translates to a 0.44% yield. However, data shows that dividend-paying stocks have historically outperformed others, with dividend initiators and growers leading the way in returns.

The company’s move to initiate dividends should place it in a strong position to deliver market-beating returns. Although this may not appeal to all dividend investors yet, the potential for significant future growth is promising, given Meta’s financial strength and cash flow.

When considering an investment in Meta Platforms, it’s important to note that while the company’s dividend may appear small today, the potential for strong future growth is high. With room to increase its payout thanks to its growing earnings and cash flow, Meta Platforms may become a dividend growth machine in the future.

Investors should consider Meta Platforms’ position as a strong candidate for growth in the future, despite its small initial dividend. With potential for meaningful dividend income in the long term, the company’s growth trajectory is enticing, making it a stock that dividend investors should not overlook.



Read more: Why Dividend Investors Shouldn’t Overlook Meta Platforms’ Recently Initiated Dividend