13 Most Profitable Dividend Contenders

Author's Avatar
Jun 09, 2012
Dividend Contenders With Highest Return On Investment Researched By Dividend Yield - Stock, Capital, Investment. Dividend Contenders are stocks with a history of rising dividend of more than 10 years in a row but less than 25 years. Stocks with such a long dividend growth history have a high reliability but which one are currently the best in terms of profitability?

I screened the 168 Dividend Contenders by the highest return on investment (ROI). Dividend Contenders are normally of higher profitability. 58 companies have a ROI over 10 percent. I observed only the highest figures. Thirteen companies have currently the highest ROI of more than 25 percent.

Here are my favorite stocks:

Nu Skin Enterprise (NUS ) has a market capitalization of $2.74 billion. The company employs 3,420 people, generates revenues of $1,743.99 million and has a net income of $153.33 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $266.54 million. Because of these figures, the EBITDA margin is 15.28 percent (operating margin 13.40 percent and the net profit margin finally 8.79 percent).

Financial Analysis: The total debt representing 13.78 percent of the company’s assets and the total debt in relation to the equity amounts to 23.78 percent. Due to the financial situation, a return on equity of 29.33 percent was realized. Twelve trailing months earnings per share reached a value of $2.87. Last fiscal year, the company paid $0.59 in form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 15.09, P/S ratio 1.55 and P/B ratio 4.65. Dividend Yield: 1.87 percent. The beta ratio is 1.26.

Novo Nordisk (NVO) has a market capitalization of $87.41 billion. The company employs 32,136 people, generates revenues of $11,214.67 million and has a net income of $2,889.96 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,202.84 million. Because of these figures, the EBITDA margin is 37.48 percent (operating margin 33.72 percent and the net profit margin finally 25.77 percent).

Financial Analysis: The total debt representing 1.32 percent of the company’s assets and the total debt in relation to the equity amounts to 2.28 percent. Due to the financial situation, a return on equity of 45.95 percent was realized. Twelve trailing months earnings per share reached a value of $5.07. Last fiscal year, the company paid $2.37 in form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 26.23, P/S ratio 5.48 and P/B ratio 11.88. Dividend Yield: 1.85 percent. The beta ratio is 0.55.

The TJX Companies (TJX) has a market capitalization of $30.72 billion. The company employs 168,000 people, generates revenues of $23,191.46 million and has a net income of $1,496.09 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,932.76 million. Because of these figures, the EBITDA margin is 12.65 percent (operating margin 10.40 percent and the net profit margin finally 6.45 percent).

Financial Analysis: The total debt representing 9.51 percent of the company’s assets and the total debt in relation to the equity amounts to 24.54 percent. Due to the financial situation, a return on equity of 47.43 percent was realized. Twelve trailing months earnings per share reached a value of $2.16. Last fiscal year, the company paid $0.38 in form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.22, P/S ratio 1.33 and P/B ratio 9.67. Dividend Yield: 1.11 percent. The beta ratio is 0.57.

Ross Stores (ROST) has a market capitalization of $14.55 billion. The company employs 14,900 people, generates revenues of $8,608.29 million and has a net income of $657.17 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,223.36 million. Because of these figures, the EBITDA margin is 14.21 percent (operating margin 12.23 percent and the net profit margin finally 7.63 percent).

Financial Analysis: The total debt representing 4.54 percent of the company’s assets and the total debt in relation to the equity amounts to 10.05 percent. Due to the financial situation, a return on equity of 46.51 percent was realized. Twelve trailing months earnings per share reached a value of $3.05. Last fiscal year, the company paid $0.47 in form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.17, P/S ratio 1.65 and P/B ratio 9.56. Dividend Yield: 0.89 percent. The beta ratio is 0.71.

Take a closer look at the full table of Dividend Contenders with the highest return on investment. The average price to earnings ratio (P/E ratio) amounts to 18.45 and forward P/E ratio is 15.93. The dividend yield has a value of 2.74 percent. Price to book ratio is 6.84 and price to sales ratio 3.77. The operating margin amounts to 38.28 percent and the beta ratio is 0.99. The average stock has a ROI of 30.28 percent.

Related stock ticker symbols:

ARLP, UHT, BBL, BHP, LLTC, CHRW, PII, NVO, NUS, FAST, ROL, FDS, TJX, ROST

Selected Articles:

· The Safest And Best Yielding Dividend Contenders

· 14 Dividend Contenders With Gaining Earnings Growth Momentum

· 8 Great Dividend Contenders At New Highs

· The 10 Highest Yielding Dividend Contenders