After the bankruptcy of MF Global, many investors feel like they're back at 2008 when Lehman Brother became insolvent. Now they try to keep their money safe — but how? One possibility is to look for stable stocks with rosy and stable growth. In addition, the company should have solid fundamentals (low debt and big cash) and is willing to give these cash to shareholders in form of dividends and share buy backs. Share buy backs are wonderful. It is a way to get tax-free dividends because a shrinking share count can help to boost earnings per share growth. Here are four stocks with solid dividends and heavy billion-dollar share buyback programs to get hedged against an ongoing crisis:
1. Intel (INTC, Financial) is acting within the broad line semiconductor industry. The company hasa market capitalization of $128.7 billion, generates revenues in an amount of $51.6 billion and a net income of $12.8 billion. It follows P/E ratio is 10.6 and forward P/E ratio 9.6, P/S 2.5 and P/B ratio 2.8. Dividend Yield: 3.4%. Last fiscal year the company paid $3.5 billion dividends and bought back shares in an amount of $1.1 billion.
2. IBM (IBM, Financial) is acting within the diversified computer systems industry. The company hasa market capitalization of $217.6 billion, generates revenues in an amount of $106.5 billion and a net income of $15.6 billion. It follows P/E ratio is 14.6 and forward P/E ratio 12.4, P/S 2.0 and P/B ratio 9.8. Dividend Yield: 1.6%. Last fiscal year the company paid $3.1 billion dividends and bought back shares in an amount of $15.4 billion.
3. McDonald's (MCD, Financial) is acting within the restaurants industry. The company has a market capitalization of $95.8 billion, generates revenues in an amount of $26.4 billion and a net income of $5.4 billion. It follows P/E ratio is 18.2 and forward P/E ratio 16.3, P/S 3.6 and P/B ratio 6.4. Dividend Yield: 3.0%. Last fiscal year the company paid $2.4 billion in form of dividends and bought back shares in an amount of $2.2 billion.
4. Cisco Systems (CSCO, Financial) is acting within the networking and communication devices industry. The company hasa market capitalization of $99.4 billion, generates revenues in an amount of $43.2 billion and a net income of $6.5 billion. It follows P/E ratio is 16.0 and forward P/E ratio 9.9, P/S 2.3 and P/B ratio 2.1. Dividend Yield: 1.3%. Last fiscal year the company paid $0.7 billion in form of dividends and bought back bought shares in an amount of $5.1 billion.
1. Intel (INTC, Financial) is acting within the broad line semiconductor industry. The company hasa market capitalization of $128.7 billion, generates revenues in an amount of $51.6 billion and a net income of $12.8 billion. It follows P/E ratio is 10.6 and forward P/E ratio 9.6, P/S 2.5 and P/B ratio 2.8. Dividend Yield: 3.4%. Last fiscal year the company paid $3.5 billion dividends and bought back shares in an amount of $1.1 billion.
2. IBM (IBM, Financial) is acting within the diversified computer systems industry. The company hasa market capitalization of $217.6 billion, generates revenues in an amount of $106.5 billion and a net income of $15.6 billion. It follows P/E ratio is 14.6 and forward P/E ratio 12.4, P/S 2.0 and P/B ratio 9.8. Dividend Yield: 1.6%. Last fiscal year the company paid $3.1 billion dividends and bought back shares in an amount of $15.4 billion.
3. McDonald's (MCD, Financial) is acting within the restaurants industry. The company has a market capitalization of $95.8 billion, generates revenues in an amount of $26.4 billion and a net income of $5.4 billion. It follows P/E ratio is 18.2 and forward P/E ratio 16.3, P/S 3.6 and P/B ratio 6.4. Dividend Yield: 3.0%. Last fiscal year the company paid $2.4 billion in form of dividends and bought back shares in an amount of $2.2 billion.
4. Cisco Systems (CSCO, Financial) is acting within the networking and communication devices industry. The company hasa market capitalization of $99.4 billion, generates revenues in an amount of $43.2 billion and a net income of $6.5 billion. It follows P/E ratio is 16.0 and forward P/E ratio 9.9, P/S 2.3 and P/B ratio 2.1. Dividend Yield: 1.3%. Last fiscal year the company paid $0.7 billion in form of dividends and bought back bought shares in an amount of $5.1 billion.
