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8 Worst Performing Dividend Grower Of The Past Year - A Great Chance For Investors?

August 09, 2014 | About:

I like it when stocks fall because they become cheaper. That's the reason why I always look at companies with a really bad stock performance.

I personally don't care about analysts and lead investors who are sometimes anxious about the future of the company. In other cases, they need to justify their portfolio risk.

I love it to see bad performing dividend stocks with a very long history of solid growing dividends, especially when the future outlook is still bright.

Below I've highlighted some of the worst performing and most disliked dividend growth stocks on the market with a negative 1-Year performance. They all got low forward P/E and yields over 3 percent.

What do you think, are they underestimated by the market?

Seadrill (NYSE:SDRL) has a market capitalization of $17.22 Billion. The company employs 8,965 people, generates revenue of $5.282 billion and has a net income of $2.786 billion. Seadrill's earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2.748 billion. The EBITDA margin is 52.03 percent (the operating margin is 39.72 percent and the net profit margin 52.75 percent).

Financial Analysis: The total debt represents 56.79 percent of Seadrill's assets and the total debt in relation to the equity amounts to 198.83 percent. Due to the financial situation, a return on equity of 40.77 percent was realized by Seadrill. Twelve trailing months earnings per share reached a value of $10.80. Last fiscal year, Seadrill paid $3.72 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 3.40, the P/S ratio is 3.18 and the P/B ratio is finally 2.29. The dividend yield amounts to 10.90 percent and the beta ratio has a value of 1.78.

Philip Morris (NYSE:PM) has a market capitalization of $131.19 Billion. The company employs 91,100 people, generates revenue of $31.217 billion and has a net income of $8.872 billion. Philip Morris's earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $14.707 billion. The EBITDA margin is 47.11 percent (the operating margin is 43.29 percent and the net profit margin 28.42 percent).

Financial Analysis: The total debt represents 72.52 percent of Philip Morris's assets. Twelve trailing months earnings per share reached a value of $3.85. Last fiscal year, Philip Morris paid $3.58 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.77, the P/S ratio is 4.14 and the P/B ratio is not calculable. The dividend yield amounts to 4.55 percent and the beta ratio has a value of 0.91.

Consolidated Edison (NYSE:ED) has a market capitalization of $16.67 Billion. The company employs 14,648 people, generates revenue of $12.354 billion and has a net income of $1.062 billion. Consolidated Edison's earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3.268 billion. The EBITDA margin is 26.45 percent (the operating margin is 18.16 percent and the net profit margin 8.60 percent).

Financial Analysis: The total debt represents 30.57 percent of Consolidated Edison's assets and the total debt in relation to the equity amounts to 101.48 percent. Due to the financial situation, a return on equity of 8.81 percent was realized by Consolidated Edison. Twelve trailing months earnings per share reached a value of $4.19. Last fiscal year, Consolidated Edison paid $2.46 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.60, the P/S ratio is 1.35 and the P/B ratio is finally 1.36. The dividend yield amounts to 4.43 percent and the beta ratio has a value of 0.20. Check out more companies here...

About the author:

Dividend
I am a private full time investor searching for investments and investment ideas.

Visit Dividend's Website


Rating: 3.5/5 (2 votes)

Voters:

Comments

snowballbuilder
Snowballbuilder - 4 months ago

Hi dividend !

i ve just visited your blog

i m quite good in math but i havent understand how you were able to stop working at 30 after only 8 years of investing

If i have correctly understand :

you say you started in 2000 with only 15k and stop working in 2008 (8 years later) to live only on dividend

with a yield of 4% you need 500k to made 20k /year of dividend income (gross of taxes)

so ... What s your secret ?

Maybe you have had a really high job income so that you can invest a lot of new money every months

( Saving 1k a months , every months , for 8 years would added only 96 k of new capital at the beginning 15 )

or maybe we have a new charlie munger here....

you also added

" i bought my first shares in 2000. Bad time for stock market investors. I lost really much money. But since 2003 it started to work."

so you ve made all the difference in only 5 years .....

your 2003 - 2008 performance should be really really really outstanding

Just some thoughts

Dividend
Dividend - 4 months ago

Hello, the graph was only from one of my brokerage accounts. I have a few stock trading vehicles :-)

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