3 High Performing Stocks

Following strong growth, they may not be trading cheaply

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Shareholders of Internet Initiative Japan Inc (IIJIY, Financial), Griffin Industrial Realty Inc (GRIF, Financial) and Tractor Supply Co (TSCO, Financial) have seen their stocks return more than the S&P 500 index in recent years. The index increased by about 7.7% over the past year, 31% over the past three years and 55.6% over the past five years through July 23.

Internet Initiative Japan Inc

Shares of Internet Initiative Japan Inc have returned 70.6% over the past year, 98.8% over the past three years and 76% over the past five years through July 23, topping the S&P 500 tremendously by 63%, 67.8% and 20.4%, respectively.

The Japanese telecommunication services provider has also paid semi-annual dividends over the years in question. On July 6, Internet Initiative Japan Inc paid a semi-annual cash dividend of 6.3 cents per common share, for trailing 12-month and forward dividend yields of 0.75% as of July 23.

GuruFocus assigned a positive rating of 6 out of 10 for the company’s financial strength and a high rating of 8 out of 10 for its profitability.

The stock price traded at around $16.75 per share at close on July 23 for a market capitalization of $1.51 billion.

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The stock has a price-earnings ratio of 41.26 and a price-book ratio of 2.09. These ratios indicate that the stock is not cheap.

Wall Street sell-side analysts issued an overweight recommendation rating for this stock and an average target price of $17.86 per share.

Griffin Industrial Realty Inc

Shares of Griffin Industrial Realty Inc have returned 43.5% over the past year, 54.4% over the past three years and 60.4% over the past five years through July 23, beating the S&P 500 by 35.8%, 23.4% and 4.8%, respectively.

The New York-based real estate company that focuses on industrial and commercial properties in the U.S. has also paid annual dividends over the years in question. On Dec. 16, 2019, the company paid an annual dividend of 50 cents per common share (up 11.1% from the previous distribution), which produces trailing 12-month and forward dividend yields of 0.99% as of July 23.

GuruFocus assigned a low rating of 3 out of 10 to the company’s financial strength but a positive rating of 5 out of 10 to its profitability.

The stock price was trading at $50.41 per share at close on July 23 for a market capitalization of $258.66 million.

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The stock has a price-earnings ratio of 69.33 and a price-book ratio of 2.95. These ratios tell that the stock is not at its cheapest.

Tractor Supply Co

Shares of Tractor Supply Co climbed 31% over the past year, 177.5% over the past three years and 58.6% over the past five years through July 23, outperforming the S&P 500 index by 23.3%, 146.5% and 3%, respectively.

The Brentwood, Tennessee-based retail farm and ranch store operator in the U.S. has also paid quarterly dividends over the observed years. On June 9, the company paid a quarterly cash dividend of 35 cents per common share, which was in line with the previous distribution. The quarterly payment produces trailing 12-month and forward dividend yields of 0.94% as of July 23.

GuruFocus assigned a positive score of 5 out of 10 to the company’s financial strength rating and a very high score of 9 out of 10 to the profitability rating.

The stock price was trading at around $146 per share at close on July 23 for a market capitalization of $16.88 billion.

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The stock has a price-earnings ratio of 30.8 and a price-book ratio of 12.47. These ratios indicate that the stock is not trading cheaply.

Wall Street sell-side analysts recommend an overweight rating for this stock, with an average target price of $149.43 per share.

Disclosure: I have no positions in any securities mentioned.

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