The words dividend cut strike fear into the hearts of even the most hardened investor. Not only do they reduce future income, but they also typically trigger capital losses as investors abandon the shares. That’s a painful double-whammy.
So it’s important to look for some of the telltale signs. After all, avoiding a loss is just as important as booking a gain. Sometimes, the best offense is a good defense. With that in mind, you may want to steer clear of stocks exhibiting these symptoms.
This post originally appeared at InvestingDaily.