Basically, when a company makes money, it will sometimes give a share of
that profit back to their owners in the form of cash dividends. Someone
who does dividend stock investing will also receive a share of that
money in terms of passive income. That is, every month the company makes
money and gives back to the owners. When the strategy is followed
correctly, this can be a good source of retirement money and you may
even hit the jackpot and become rich, but those who do are generally few
and far between.