Surveyed Members Mixed on Current Dividend Yields

This week’s Sentiment Survey special question asked AAII members for their opinion of the dividend yields that stocks currently trade at. Responses varied. The largest group of respondents (23%) described dividends as currently being too low. Several said that the low dividends indicate high valuations for stocks. Slightly more than 12% felt that dividend yields are currently adequate. Approximately 10% described the current dividend yields as being better than what is available on bonds and bank accounts. Roughly 7% said that dividends are currently too high or otherwise unsustainable. Nearly 4% thought that yields are attractive at current levels.

Here is a sampling of the responses:

  • “It’s better than the yield from fixed-income investments.”
  • “You have to be careful, as very high dividend yields may not be sustainable.”
  • “It’s good, but we need higher earnings to support further dividend increases.”
  • “Adequate, but could be better if the economy got rolling.”
  • “It’s just too low, meaning most are overvalued.”

Want to weigh in? Take the survey yourself and see results online at

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