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Blue Chip Stock

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Blue Chip Stock
A blue chip stock is the stock of a well-established company having stable Earnings and no extensive liabilities.
    
The term derives from casino, where blue CHIPS stand for counters of the highest value. Most blue chip stocks pay regular dividends, even when business is faring worse than usual. They are valued by investors seeking relative safety and stability, though prices per share are usually High. Typically, such stocks are perceived to Offer reliable returns, Low Yield, and Low Risk. Blue CHIPS tend to be large, stable and well known.
    
It is the Common Stock of a company with a reputation for quality products, services, and management, and a Long history of Earnings growth and Dividend payments. Examples of blue chip companies include General Electric, International Business Machines, and DuPont.
Posted by  C5 Group Inc.
 
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