stock watchlist: Dividend yield is more than just passive income: 6 PSU stocks with 4.14-5.67% yield
Stock price and dividend yields have an inverse relationship but before this inverse relationship kicks in there is a level of equilibrium. Now this level of equilibrium is a subjective level which moves according to risk free interest rate level which FD provides. But there is another equilibrium level which mathematical equations don't solve. Stocks with reasonable probability of outperforming in a bearish market. The use of the word reasonable brings in the element of subjectivity.
Source: indiatimes.com