From Investorplace:
Portfolio manager Ned Davis studied the returns of S&P 500 stocks from 1972 to 2004. His goal? To figure out what the best stocks to buy were over this 33-year period.
Davis’s study revealed that dividend growers outperformed non-income-paying stocks by 630 basis points. The moral of the story? If you want to have an income-rich retirement, you’ve got to have a diversified basket of dividend stocks that will deliver both capital appreciation and income growth.