Dividend Yield | Sep 09, 2012 05:13AM ET
The utility sector is a great investment field with fantastic value and sustainable high dividends. The whole sector has a total market capitalization of USD 18.68 trillion and summarizes 117 companies. The average dividend yield amounts to 4.24 percent and the P/E ratio is 15.51.
In order to find the best dividend paying stocks within the sector, I screened all companies with a positive dividend yield, great earnings per share growth of more than five percent and an operating margin over 20 percent. In order get the best results in terms of low debt and high cash, the debt to equity ratio should be under one. Twelve utility companies remained of which nine yielding over three percent and eight are currently recommended to buy.
PAA Natural Gas Storage (NYSE:PNG) has a market capitalization of $1.57 billion. The company employs 83 people, generates revenue of $342.96 million and has a net income of $59.70 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $98.75 million. The EBITDA margin is 28.79 percent (operating margin 18.97 percent and net profit margin 17.41 percent).
Financial Analysis: The total debt represents 28.19 percent of the company’s assets and the total debt in relation to the equity amounts to 40.56 percent. Due to the financial situation, a return on equity of 5.89 percent was realized. Twelve trailing months earnings per share reached a value of $0.96. Last fiscal year, the company paid $1.39 in form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.46, P/S ratio 3.21 and P/B ratio 1.25. Dividend Yield: 7.68 percent. The beta ratio is not calculable.
Financial Analysis: The total debt represents 27.14 percent of the company’s assets and the total debt in relation to the equity amounts to 78.81 percent. Due to the financial situation, a return on equity of 14.14 percent was realized. Twelve trailing months earnings per share reached a value of $2.62. Last fiscal year, the company paid $1.37 in form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.08, P/S ratio 1.45 and P/B ratio 1.56. Dividend Yield: 4.48 percent. The beta ratio is 0.44.
Financial Analysis: The total debt represents 34.36 percent of the company’s assets and the total debt in relation to the equity amounts to 130.20 percent. Due to the financial situation, a return on equity of 10.09 percent was realized. Twelve trailing months earnings per share reached a value of $1.85. Last fiscal year, the company paid $1.10 in form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.72, P/S ratio 2.68 and P/B ratio 1.68. Dividend Yield: 3.60 percent. The beta ratio is 0.48.
Financial Analysis: The total debt represents 31.31 percent of the company’s assets and the total debt in relation to the equity amounts to 76.43 percent. Due to the financial situation, a return on equity of 14.38 percent was realized. Twelve trailing months earnings per share reached a value of $2.48. Last fiscal year, the company paid $0.88 in form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 22.21, P/S ratio 4.97 and P/B ratio 2.27. Dividend Yield: 1.62 percent. The beta ratio is 0.82.
Here is the full table with some fundamentals (TTM):
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.