3 Superior Forward Dividend-Yield Stocks

Alstom SA tops the list

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The following stocks are outperforming the S&P 500 index in terms of higher dividend yield. The dividend yield for the benchmark of the U.S. stock market was 1.91% as of Friday.

The following companies have a solid financial situation. They are running profitably, and they will likely remain that way.

What’s more, Most analysts in Wall Street suggest buying more shares of these three companies because they expect them to top the market's performance within 52 weeks.

Shares of Alstom SA (AOMFF, Financial) were trading around $45.5 on Friday. For the 52 weeks through May 10, the stock declined 1%, for a forward dividend yield of 13.53% versus the industry median of 2.2%.

GuruFocus rated the company's financial strength 6 out of 10 and its profitability and growth 7 out of 10.

Wall Street issued an overweight recommendation rating with an average target price of $42.61 per share.

Alstom SA is a French provider of systems, equipment and services for worldwide transportation companies. The stock has a market capitalization of $9.69 billion, a price-earnings ratio of 12.79 versus the industry median of 17.65, a price-book ratio of 2.12 versus an industry median of 1.54. The price-sales ratio is 1.08 compared to the industry median of 1.07.

Shares are currently trading above the 200-, 100- and 50-day simple moving average lines. The 52-week range is $38.80 to $47.84.

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The 14-day relative strength index is 74, suggesting the stock is approaching overbought levels.

Shares of Alliance Resource Partners LP (ARLP, Financial) were trading around $18.5 on Friday. A 3% increase over the 52 weeks through May 10 gives a forward dividend yield of 11.59% compared to the industry median of 3.4%.

The Tulsa, Oklahoma-based coal producer has distributed dividends since November 1999. On May 15, Alliance Resource Partners will pay a 53-cent cash quarterly dividend to shareholders of record May 8.

The stock has a market cap of approximately $2.37 billion, a price-earnings ratio of 5 versus the industry median of 12.82, a price-book ratio of 1.72 versus the industry median of 1.65 and an EV-Ebitda ratio of 5.43 versus an industry median of 7.79.

GuruFocus issued a rating of 6 out of 10 for both the financial strength and for the profitability and growth of the company.

Wall Street issued a buy recommendation rating with an average target price of $24.25 per share, which reflects 31.2% upside from the share price at close on Friday.

The share price is currently below the 200-, 100- and 50-day simple moving average lines. The 52-week range is $16.5 to $20.99.

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The 14-day relative strength index is 35, suggesting the stock is approaching oversold levels.

TelefĂ´nica Brasil SA (VIV, Financial) was trading around $11.5 per share on Friday. For the past year through May 10, the stock declined 11%, pushing the forward dividend yield up to 7.08% compared to the industry median of 3.54%.

The Brazilian telecommunication services company has paid dividends for 21 years.

The stock has a market capitalization of $18.78 billion, a price-earnings ratio of 7.89 versus the industry median of 19.33 and a price-book ratio of 0.96 versus an industry median of 2.07. The price-sales ratio is 1.36 compared to the industry median of 1.5.

GuruFocus issued a rating of 7 out of 10 for the financial strength and a rating of 6 out of 10 for the profitability and growth of the company.

In Wall Street, the common opinion is that TelefĂ´nica Brasil will outperform either the market or the industry within 12 months. The average target price is $13.20 per share.

The share price is above the 200-, 100- and 50-day simple moving average lines. The 52-week range is $9.21 to $13.60.

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The 14-day relative strength index is 38, indicating the stock is close to oversold levels.

Disclosure: I have no positions in any securities mentioned.