Cheapest Large Caps with Highest Expected Growth as of March 2012

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Mar 23, 2012
Here is a current sheet of America’s cheapest large caps with the highest expected growth for the upcoming fiscal year. Stocks from the sheet have a market capitalization of more than USD10 billion and earnings per share are expected to grow for at least 20 percent. Despite the strong growth, they still have a P/E ratio of less than 20 and a P/S ratio of less than 2. Thirty stocks fulfilled these criteria of which one company has a double-digit yield; nine yielding above 3 percent. Telefonica (TEF, Financial) is still in the first position of the screen. CRH, the Irish cement producer is new in our results and occupies rank two. Twenty-three stocks are recommended to buy.


Here are my favorite stocks:


1. WPP (WPPGY, Financial) has a market capitalization of $17.13 billion. The company employs 101,387 people, generates revenues of $15,741.21 million and has a net income of $1,439.54 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,434.58 million. Because of these figures, the EBITDA margin is 15.47 percent (operating margin 11.90 percent and the net profit margin finally 9.15 percent).


The total debt representing 19.35 percent of the company’s assets and the total debt in relation to the equity amounts to 73.04 percent. Due to the financial situation, a return on equity of 12.82 percent was realized. Twelve trailing months earnings per share reached a value of $4.97. Last fiscal year, the company paid $1.93 in form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 13.70, P/S ratio 1.05 and P/B ratio 1.60. Dividend Yield: 2.95 percent. The beta ratio is 1.40.


2. Johnson Controls (JCI) has a market capitalization of $21.54 billion. The company employs 162,000 people, generates revenues of $40,833.00 million and has a net income of $1,741.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,718.00 million. Because of these figures, the EBITDA margin is 6.66 percent (operating margin 5.17 percent and the net profit margin finally 4.26 percent).


The total debt representing 17.34 percent of the company’s assets and the total debt in relation to the equity amounts to 46.60 percent. Due to the financial situation, a return on equity of 15.38 percent was realized. Twelve trailing months earnings per share reached a value of $2.41. Last fiscal year, the company paid $0.64 in form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 13.14, P/S ratio 0.53 and P/B ratio 1.97. Dividend Yield: 2.25 percent. The beta ratio is 1.85.


3. United Technologies (UTX, Financial) has a market capitalization of $74.59 billion. The company employs 199,900 people, generates revenues of $58,190.00 million and has a net income of $5,374.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9,387.00 million. Because of these figures, the EBITDA margin is 16.13 percent (operating margin 13.92 percent and the net profit margin finally 9.24 percent).


The total debt representing 16.70 percent of the company’s assets and the total debt in relation to the equity amounts to 46.89 percent. Due to the financial situation, a return on equity of 23.02 percent was realized. Twelve trailing months earnings per share reached a value of $5.50. Last fiscal year, the company paid $1.86 in form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 14.93, P/S ratio 1.35 and P/B ratio 3.59. Dividend Yield: 2.22 percent. The beta ratio is 1.04.


Take a look at the full list of cheap large capitalized stocks with highest expected earnings per share growth. The average P/E ratio amounts to 12.90 while the forward P/E ratio is 9.38. P/S ratio is 1.00 and P/B ratio 2.33. The expected earnings growth for next year amounts to 34.98 and 13.97 percent for the upcoming five years.


Related stock ticker symbols:

TEF, PTR, STX, NUE, CCL, IP, WPPGY, TWC, NTT, FCX, BA, UTX, JCI, DB, CHK, AA, MS, NWSA, HES, PKX, MITSY, BRFS, DTV


Selected Articles:

· The Cheapest High Yield Stocks On The S&P 500

· Cheapest Large Caps With Highest Expected Growth As Of February 2012

· 16 Cheapest High Yield Large Cap Stocks – An Overview

· 12 Best Yielding NASDAQ Large Cap Dividend Stocks