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Aswath Damodaran on the Future of Business Education

Masters in Business

CHAPTER

The Problem With Dividends

Last year, there were at least a couple of hundred companies with dividend yields greater than 8%. The way I think of them is these are companies that are teetering on the edge of the cliff. And if you're a lazy value investor buying high yields, you're going to be buying a lot of banks right now.

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