15 Most Profitable Dividend Aristocrats

Author's Avatar
Jun 19, 2012
Dividend Aristocrats With Highest Return On Investment Researched By Dividend Yield - Stock, Capital, Investment. Dividend Aristocrats are stocks with a history of rising dividend of more than 25 years in a row. In addition they are selected and part of the S&P 500 Dividend Aristocrats Index. Dividend Aristocrats have a high reliability but which one is currently the best in terms of profitability?


I screened the 52 Dividend Aristocrats by the highest return on investment (ROI) and observed only the stocks with a return on investment of more than 15 percent. Fifteen companies fulfilled the mentioned criteria of which eight are currently recommended to buy.


Here are my favorite stocks:


McDonald's (MCD, Financial) has a market capitalization of $91.71 billion. The company employs 420,000 people, generates revenues of $27,006.00 million and has a net income of $5,503.10 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9,766.70 million. Because of these figures, the EBITDA margin is 36.16 percent (operating margin 31.58 percent and the net profit margin finally 20.38 percent).


Financial Analysis: The total debt representing 37.89 percent of the company’s assets and the total debt in relation to the equity amounts to 86.87 percent. Due to the financial situation, a return on equity of 37.92 percent was realized. Twelve trailing months earnings per share reached a value of $5.35. Last fiscal year, the company paid $2.53 in form of dividends to shareholders. The current ROI amounts to 19.34 percent.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 16.86, P/S ratio 3.41 and P/B ratio 6.42. Dividend Yield: 3.09 percent. The beta ratio is 0.44.


Coca-Cola (KO, Financial) has a market capitalization of $171.41 billion. The company employs 146,200 people, generates revenues of $46,542.00 million and has a net income of $8,634.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $12,596.00 million. Because of these figures, the EBITDA margin is 27.06 percent (operating margin 23.06 percent and the net profit margin finally 18.55 percent).


Financial Analysis: The total debt representing 35.72 percent of the company’s assets and the total debt in relation to the equity amounts to 90.31 percent. Due to the financial situation, a return on equity of 27.37 percent was realized. Twelve trailing months earnings per share reached a value of $3.77. Last fiscal year, the company paid $1.88 in form of dividends to shareholders. The current ROI amounts to 15.63 percent.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.18, P/S ratio 3.69 and P/B ratio 5.44. Dividend Yield: 2.68 percent. The beta ratio is 0.52.


Franklin Resources (BEN) has a market capitalization of $23.07 billion. The company employs 8,451 people, generates revenues of $7,140.04 million and has a net income of $1,820.78 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,742.23 million. Because of these figures, the EBITDA margin is 38.41 percent (operating margin 37.25 percent and the net profit margin finally 25.50 percent).


Financial Analysis: The total debt representing 15.74 percent of the company’s assets and the total debt in relation to the equity amounts to 25.44 percent. Due to the financial situation, a return on equity of 23.57 percent was realized. Twelve trailing months earnings per share reached a value of $8.68. Last fiscal year, the company paid $1.00 in form of dividends to shareholders. The current ROI amounts to 15.47 percent.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.36, P/S ratio 3.29 and P/B ratio 2.79. Dividend Yield: 0.99 percent. The beta ratio is 1.49.


Take a closer look at the full table of the most profitable Dividend Aristocrats. The average price to earnings ratio (P/E ratio) amounts to 18.29 and forward P/E ratio is 15.04. The dividend yield has a value of 2.27 percent. Price to book ratio is 6.06 and price to sales ratio 2.39. The operating margin amounts to 20.79 percent and the beta ratio is 0.76. The average stock has a ROI of 19.11 percent.


Related stock ticker symbols:

CLX, GPC, MCD, ADP, XOM, MMM, KO, CL, MHP, TROW, GWW, SHW, FDO, SIAL, BEN


Selected Articles:

· Dividend Aristocrats With Double-Digit Growth Potential

· The Best Yielding Dividend Aristocrats

· The Safest Dividend Aristocrats

· 14 Dividend Aristocrats With Additional Payout Potential