My Favorites from the 20 Best Buy-Rated Dividend Achievers

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Nov 28, 2012
Many people have a strong opinion on the development of stocks. Analysts and brokerage firms are professionals who spread opinions across the financial markets. Sometimes they get paid, sometimes they are long or short and benefit from asset price changes. However, there is still a reason for analyst ratings. I wanted to know what the professionals think about the best dividend growth stocks and which stocks they recommend most for the time being. In order to find the answer, I run a screen of stocks with more than 10 consecutive years of dividend growth and sorted them by the highest recommendation. As a result, nearly half of the Dividend Achievers have a current buy or better rating. Below is a list of the 20 best buy rated dividend growth stocks.

Here are my favorite stocks:

Enterprise Products (EPD) has a market capitalization of $46.58 billion. The company employs 6,900 people, generates revenue of $44.313 billion and has a net income of $2.088 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3.736 billion. The EBITDA margin is 8.43 percent (the operating margin is 6.45 percent and the net profit margin 4.71 percent).

Financial Analysis: The total debt represents 42.58 percent of the company’s assets and the total debt in relation to the equity amounts to 119.94 percent. Due to the financial situation, a return on equity of 17.43 percent was realized. Twelve trailing months earnings per share reached a value of $2.85. Last fiscal year, the company paid $2.44 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 18.09, the P/S ratio is 1.05 and the P/B ratio is finally 3.79. The dividend yield amounts to 5.05 percent and the beta ratio has a value of 0.61.

PPG Industries (PPG) has a market capitalization of $18.77 billion. The company employs 38,400 people, generates revenue of $14.885 billion and has a net income of $1.212 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.195 billion. The EBITDA margin is 14.75 percent (the operating margin is 10.73 percent and the net profit margin 8.14 percent).

Financial Analysis: The total debt represents 25.60 percent of the company’s assets and the total debt in relation to the equity amounts to 113.33 percent. Due to the financial situation, a return on equity of 31.80 percent was realized. Twelve trailing months earnings per share reached a value of $5.99. Last fiscal year, the company paid $2.26 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.45, the P/S ratio is 1.26 and the P/B ratio is finally 5.72. The dividend yield amounts to 1.93 percent and the beta ratio has a value of 1.30.

Ecolab (ECL) has a market capitalization of $20.52 billion. The company employs 40,200 people, generates revenue of $6.798 billion and has a net income of $463.30 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1.149 billion. The EBITDA margin is 16.91 percent (the operating margin is 11.09 percent and the net profit margin 6.81 percent).

Financial Analysis: The total debt represents 41.86 percent of the company’s assets and the total debt in relation to the equity amounts to 134.76 percent. Due to the financial situation, a return on equity of 11.87 percent was realized. Twelve trailing months earnings per share reached a value of $1.93. Last fiscal year, the company paid $0.72 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 36.35, the P/S ratio is 3.02 and the P/B ratio is finally 3.61. The dividend yield amounts to 1.14 percent and the beta ratio has a value of 0.68.

Take a closer look at the full list of the best recommended Dividend Achievers. The average P/E ratio amounts to 19.60 and forward P/E ratio is 16.84. The dividend yield has a value of 2.75 percent. Price to book ratio is 3.46 and price to sales ratio 2.06. The operating margin amounts to 15.16 percent. The average stock has a debt to equity ratio of 0.92.

Related stock ticker symbols:

WPC, EPD, PAA, SJI, ERIE, UGI, CTWS, SJW, MSA, UTX, ATNI, JW-A, MHP, TNC, PPG, NUS, PII, RAVN, ECL, EOG

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