I love stocks with high dividend yields, but there are only a few with sustainable payments. I think about Altria or Lorillard. Other stocks have a huge potential for a dividend cut, also if they are a Dividend Champion or a stock with a very long dividend growth history. I made this investment mistake with Avon Products. The company was highly leveraged and had some operational problems. Finally it reduced the dividend dramatically.
Most people need stocks with very high yields. I don’t because my private wealth is high enough to catch the dividend payments and live off it. In the past, I often thought it would be the only solution to put all my money into the highest yielding stocks with the most attractive fundamentals. This strategy failed and I lost much money within the closed-end shipping industry. That was a big mistake from which I learned, and I'm sharing this with you.
Please don’t put all your money into one stock or make a single bet on a high-yield stock. This is very risky. That’s all I can say. Do good research and try to avoid an overweighting of any stock or asset theme.
Each month, I make a regular screen about the stocks with the highest dividend yields because I believe there is a lot of valuable information in it for my readers. This month, I would like to show you the 20 most recommended stocks with a double-digit dividend yield and a higher market capitalization (over USD300 million). Out there are 95 companies with a very high yield but only 35 have a buy or better recommendation. The REIT industry is still a big player on my screen with six representatives.
Here are the three biggest stocks from the screen:
Northern Tier Energy (NTI) has a market capitalization of $2.34 billion. The company employs 2,667 people, generates revenue of $4.280 billion and has a net income of $28.30 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $452.10 million. The EBITDA margin is 10.56 percent (the operating margin is 9.87 percent and the net profit margin 0.66 percent).
Financial Analysis: The total debt represents 30.23 percent of the company’s assets and the total debt in relation to the equity amounts to 96.70 percent. Due to the financial situation, a return on equity of 9.48 percent was realized. Twelve trailing months earnings per share reached a value of $4.43. Last fiscal year, the company paid no dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 5.76, the P/S ratio is 0.55 and the P/B ratio is finally 7.51. The dividend yield amounts to 34.73 percent and the beta ratio is not calculable.
Companhia Energetica de Minas Gerais (CIG) has a market capitalization of $9.43 billion. The company employs 8,706 people, generates revenue of $7.743 billion and has a net income of $1.182 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.620 billion. The EBITDA margin is 33.84 percent (the operating margin is 27.91 percent and the net profit margin 15.26 percent).
Financial Analysis: The total debt represents 42.24 percent of the company’s assets and the total debt in relation to the equity amounts to 134.35 percent. Due to the financial situation, a return on equity of 20.79 percent was realized. Twelve trailing months earnings per share reached a value of $1.93. Last fiscal year, the company paid $0.74 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 5.73, the P/S ratio is 1.20 and the P/B ratio is finally 1.64. The dividend yield amounts to 22.15 percent and the beta ratio has a value of 0.74.
American Capital Mortgage Investment (AGNC) has a market capitalization of $10.63 billion. The company generates revenue of $1.108 billion and has a net income of $770.48 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $750.34 million. The EBITDA margin is 67.67 percent (the operating margin is 70.04 percent and the net profit margin 69.48 percent).
Financial Analysis: The total debt represents 83.81 percent of the company’s assets and the total debt in relation to the equity amounts to 782.19 percent. Due to the financial situation, a return on equity of 19.80 percent was realized. Twelve trailing months earnings per share reached a value of $3.02. Last fiscal year, the company paid $5.60 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.29, the P/S ratio is 9.59 and the P/B ratio is finally 1.12. The dividend yield amounts to 16.07 percent and the beta ratio has a value of 0.42.
Take a closer look at the full list of very high yielding stocks with the highest buy ratings. The average P/E ratio amounts to 8.59 and forward P/E ratio is 8.85. The dividend yield has a value of 14.12 percent. Price to book ratio is 1.70 and price to sales ratio 6.05. The operating margin amounts to 52.40 percent and the beta ratio is 0.74. Stocks from the list have an average debt to equity ratio of 2.83.
Related stock ticker symbols:
NTI, XRS, WMC, NYMT, AGNC, MTGE, ARR, SDR, AMTG, CYS, CIG, DX, HCLP, EFC, TICC, QRE, MEMP, LRE, NRP, PNNT
Selected Articles:
· 18 Stocks With Very High Yields (+10%) And Earnings Growth
· These 14 Stocks With Very High Yields (Over 10%) Are Close To 52-Week Highs
· 12 Stocks With Very High Yields (10+ Percent) And Additional Growth Potential
· 6 Monthly Dividend Paying High-Yields
(Subscribe to my blog via RSS Feed or E-Mail. Alternatively, you can follow me on Facebook or Twitter.)
Most recommended stocks with very high yields originally published at "long-term-investments.blogspot.com."
Most people need stocks with very high yields. I don’t because my private wealth is high enough to catch the dividend payments and live off it. In the past, I often thought it would be the only solution to put all my money into the highest yielding stocks with the most attractive fundamentals. This strategy failed and I lost much money within the closed-end shipping industry. That was a big mistake from which I learned, and I'm sharing this with you.
Please don’t put all your money into one stock or make a single bet on a high-yield stock. This is very risky. That’s all I can say. Do good research and try to avoid an overweighting of any stock or asset theme.
Each month, I make a regular screen about the stocks with the highest dividend yields because I believe there is a lot of valuable information in it for my readers. This month, I would like to show you the 20 most recommended stocks with a double-digit dividend yield and a higher market capitalization (over USD300 million). Out there are 95 companies with a very high yield but only 35 have a buy or better recommendation. The REIT industry is still a big player on my screen with six representatives.
Here are the three biggest stocks from the screen:
Northern Tier Energy (NTI) has a market capitalization of $2.34 billion. The company employs 2,667 people, generates revenue of $4.280 billion and has a net income of $28.30 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $452.10 million. The EBITDA margin is 10.56 percent (the operating margin is 9.87 percent and the net profit margin 0.66 percent).
Financial Analysis: The total debt represents 30.23 percent of the company’s assets and the total debt in relation to the equity amounts to 96.70 percent. Due to the financial situation, a return on equity of 9.48 percent was realized. Twelve trailing months earnings per share reached a value of $4.43. Last fiscal year, the company paid no dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 5.76, the P/S ratio is 0.55 and the P/B ratio is finally 7.51. The dividend yield amounts to 34.73 percent and the beta ratio is not calculable.
Companhia Energetica de Minas Gerais (CIG) has a market capitalization of $9.43 billion. The company employs 8,706 people, generates revenue of $7.743 billion and has a net income of $1.182 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.620 billion. The EBITDA margin is 33.84 percent (the operating margin is 27.91 percent and the net profit margin 15.26 percent).
Financial Analysis: The total debt represents 42.24 percent of the company’s assets and the total debt in relation to the equity amounts to 134.35 percent. Due to the financial situation, a return on equity of 20.79 percent was realized. Twelve trailing months earnings per share reached a value of $1.93. Last fiscal year, the company paid $0.74 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 5.73, the P/S ratio is 1.20 and the P/B ratio is finally 1.64. The dividend yield amounts to 22.15 percent and the beta ratio has a value of 0.74.
American Capital Mortgage Investment (AGNC) has a market capitalization of $10.63 billion. The company generates revenue of $1.108 billion and has a net income of $770.48 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $750.34 million. The EBITDA margin is 67.67 percent (the operating margin is 70.04 percent and the net profit margin 69.48 percent).
Financial Analysis: The total debt represents 83.81 percent of the company’s assets and the total debt in relation to the equity amounts to 782.19 percent. Due to the financial situation, a return on equity of 19.80 percent was realized. Twelve trailing months earnings per share reached a value of $3.02. Last fiscal year, the company paid $5.60 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.29, the P/S ratio is 9.59 and the P/B ratio is finally 1.12. The dividend yield amounts to 16.07 percent and the beta ratio has a value of 0.42.
Take a closer look at the full list of very high yielding stocks with the highest buy ratings. The average P/E ratio amounts to 8.59 and forward P/E ratio is 8.85. The dividend yield has a value of 14.12 percent. Price to book ratio is 1.70 and price to sales ratio 6.05. The operating margin amounts to 52.40 percent and the beta ratio is 0.74. Stocks from the list have an average debt to equity ratio of 2.83.
Related stock ticker symbols:
NTI, XRS, WMC, NYMT, AGNC, MTGE, ARR, SDR, AMTG, CYS, CIG, DX, HCLP, EFC, TICC, QRE, MEMP, LRE, NRP, PNNT
Selected Articles:
· 18 Stocks With Very High Yields (+10%) And Earnings Growth
· These 14 Stocks With Very High Yields (Over 10%) Are Close To 52-Week Highs
· 12 Stocks With Very High Yields (10+ Percent) And Additional Growth Potential
· 6 Monthly Dividend Paying High-Yields
(Subscribe to my blog via RSS Feed or E-Mail. Alternatively, you can follow me on Facebook or Twitter.)
Most recommended stocks with very high yields originally published at "long-term-investments.blogspot.com."
