20 Most Recommended Dividend Champions
Dividend Yield | Dec 31, 2012 04:52AM ET
Dividend Champions are stocks with a history of dividend payments of more than 25 years in a row. Approximately 108 stocks have this illustrious history of dividend growth.
Ilove dividend stocks,but not all stocks with long term dividend growth are good investments. An example of this is Avon Products (AVP) which cut quarterly dividend payments from 23 cents to 6 cents per share due to bad operative performance and high debt burdens. These are all factors you need to consider before you buy a stock.
Today, I've screened the current Dividend Champions list for recommendations by analysts and brokerage firms. Five of the results have a yield over three percent and two have a strong buy rating.
Black Hills (BKH) has a market capitalization of $1.58 billion. The company employs 2,030 people, generates revenue of $1.272 billion and has a net income of $40.36 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $321.83 million. The EBITDA margin is 25.30 percent (the operating margin is 14.64 percent and the net profit margin 3.17 percent).
Financial Analysis: The total debt represents 39.44 percent of the company’s assets and the total debt in relation to the equity amounts to 134.61 percent. Due to the financial situation, a return on equity of 3.50 percent was realized. Twelve trailing months earnings per share reached a value of $1.69. Last fiscal year, the company paid $1.46 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.17, the P/S ratio is 1.24 and the P/B ratio is finally 1.30. The dividend yield amounts to 4.14 percent and the beta ratio has a value of 0.96.
Universal (UVV) has a market capitalization of $1.16 billion. The company employs 26,000 people, generates revenue of $2.446 billion and has a net income of $100.82 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $224.17 million. The EBITDA margin is 9.16 percent (the operating margin is 7.37 percent and the net profit margin 4.12 percent).
Financial Analysis: The total debt represents 23.68 percent of the company’s assets and the total debt in relation to the equity amounts to 45.36 percent. Due to the financial situation, a return on equity of 7.95 percent was realized. Twelve trailing months earnings per share reached a value of $5.46. Last fiscal year, the company paid $1.94 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 9.02, the P/S ratio is 0.47 and the P/B ratio is finally 1.18. The dividend yield amounts to 4.06 percent and the beta ratio has a value of 0.97.
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Financial Analysis: The total debt represents 4.85 percent of the company’s assets and the total debt in relation to the equity amounts to 8.36 percent. Due to the financial situation, a return on equity of 23.75 percent was realized. Twelve trailing months earnings per share reached a value of $12.19. Last fiscal year, the company paid $3.09 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 8.73, the P/S ratio is 0.82 and the P/B ratio is finally 1.74. The dividend yield amounts to 3.38 percent and the beta ratio has a value of 0.80.
Take a closer look at the full list of the best to buy rated Dividend Champions. The average P/E ratio amounts to 16.98 and forward P/E ratio is 14.30. The dividend yield has a value of 2.36 percent. Price to book ratio is 2.75 and price to sales ratio 1.74. The operating margin amounts to 16.36 percent and the beta ratio is 1.01. Stocks from the list have an average debt to equity ratio of 0.67.
Here is the full table with some fundamentals (TTM):
Related stock ticker symbols:
BKH, UVV, CVX, UGI, CTWS, KO, MSA, SJW, MDT, VFC, DOV, MHP, PNR, PPG, TNC,
RAVN, CSL, EGN, HP, FUL
Disclosure: I am long MDT, KO. I receive no compensation to write about these specific stocks, sector or theme. I don't plan to increase or decrease positions or obligations within the next 72 hours.
For the other stocks: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I receive no compensation to write about any specific stock, sector or theme.
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