Guaranteed Stock

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Dictionary Says

Definition of 'Guaranteed Stock'

An infrequently used form of common or preferred stock, whose dividends are guaranteed by a third party. Railroads and public utilities sometimes issue this kind of stock. The guaranteed dividend can increase the stock's price.

This can also refer to commonly purchased items that a company always keeps a supply of for customers to purchase.
Investopedia Says

Investopedia explains 'Guaranteed Stock'

A company cannot pay dividends unless it earns a profit. Since it can't guarantee that it will earn a profit, another company has to guarantee that it will pay the dividend.

By having guaranteed stock, a company can acquire an advantage over competitors who do not. However, it will face the costs associated with carrying a large amount of inventory.

Search results for

'Guaranteed Stock'

  • Safety and Income: Guaranteed-Income Products | Investopedia

    http://www.investopedia.com/university/safety-and-income/guaranteed-income-products.asp
    ... Products While stable income for life is an enticing proposition, guaranteed-income
    products ... In other words, if an investor buys a diversified stock and bond ...

  • Stocks Basics: Different Types Of Stocks | Investopedia

    http://www.investopedia.com/university/stocks/stocks2.asp
    ... dividend forever. This is different than common stock, which has variable
    dividends that are never guaranteed. Another advantage ...

  • Valuation Of A Preferred Stock

    http://www.investopedia.com/articles/fundamental-analysis/11/valuation-prefered-stock.asp
    ... not guaranteed in common shares. If you take these payments and calculate the sum
    of the present values into perpetuity, you will find the value of the stock. ...

  • Guaranteed Retirement Income - In Any Market

    http://www.investopedia.com/articles/retirement/09/laddering-annuities.asp
    ... The Benefits of Annuity Laddering Laddering "produces more guaranteed lifetime income ...
    an income annuity outperformed the strategy of having stock and bonds only ...

  • Is preferred stock an equity or a fixed-income security?

    http://www.investopedia.com/ask/answers/06/preferredstock.asp
    ... withhold preferred dividends. So, though preferred stock typically has
    a fixed dividend, it isn't guaranteed. To continue reading ...

  • Is there such a thing as a foolproof stock-picking strategy?

    http://www.investopedia.com/ask/answers/08/keeping-fool-proof.asp
    ... Is there such a thing as a foolproof stock-picking strategy? ... However, it is also
    very unlikely that there exists a lucrative and sustainable guaranteed strategy ...

  • CEOs' Retirement Savings Are Safe: Are Yours?

    http://stocks.investopedia.com/stock-analysis/2010/CEOs-Retirement-Savings-Are-Safe-Are-Yours-CMCSA-GE-INTC-WMT-BK-ITW0121.aspx
    ... offering guaranteed rates of return for its executives wasn't well above 50%. But
    then again, who ever said life was fair? Use the Investopedia Stock Simulator ...

  • Unknown Dividend Plays

    http://stocks.investopedia.com/stock-analysis/2010/Unknown-Dividend-Plays-BBEP-CODI-ARCC-PNNT-CQP0923.aspx
    ... Second, the dividend payouts are not guaranteed, and could change at any time. Use
    the Investopedia Stock Simulator to trade the stocks mentioned in this ...

  • Stocks Basics: What Are Stocks? | Investopedia

    http://www.investopedia.com/university/stocks/stocks1.asp
    ... The first sale of a stock, which is issued by the private company itself, is ... When
    you buy a debt investment such as a bond, you are guaranteed the return of ...

  • 20 Investments: Common Stock | Investopedia

    http://www.investopedia.com/university/20_investments/5.asp
    ... Weaknesses Your original investment is not guaranteed. There is always the risk
    that the stock you invest in will decline in value, and you may lose your ...

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