Finding the best blue chip stocks does not need to be complicated.  Here’s how to find the best of the best:

  • Only look at stocks with yields at or above 7%
  • Examine how long the company has been in business
  • Determine fair value (prefer low P/E ratios)
  • Look for a strong competitive advantage
  • Invest in high quality blue chips trading at fair or better prices

What Are Blue Chip Stocks?

Blue chip stocks are established large-cap businesses that pay reliable dividends.  They have long corporate histories and provide well-known products and/or services.

This article examines every business in the S&P 500 with a 3% yield and a 100+ year corporate history.  Both of these metrics are important in finding examples of blue chip companies.

Blue chip stocks should pay reliable, above average dividends.

  • Stocks with 100+ year histories are generally reliable
  • Stocks with 7%+ dividend yields by definition pay above average dividends
The Bottom Line

If you want to invest in market-leading companies with a proven track record and low volatility, look no further than blue chip stocks, mutual funds and ETFs. They may not be as glamorous as the latest growth stocks, but they can quietly help you achieve your long-term investing goals.

Blue chip stocks, named after the highest-valued chips in poker, are prized investment holdings representing ownership in some the most successful firms in the economy.

If you want to invest in companies that have proven their ability to ride out economic downturns and maintain profitability even when times get tough, you should sign up today and receive the information pack and more.