I’ve tried to figure out those Dividend Aristocrats with the highest potential in terms of earnings growth. That’s why I screened the investment category
by stocks with a five-year average earnings growth of at least 10 percent yearly.
21 companies fulfilled these criteria of which one is a high yield and four yielding
over three percent.
Here are my favorite
stocks:
Walgreen Company (NYSE:WAG) has a market capitalization of $27.01 billion. The company employs 176,000 people, generates revenues of $72,184.00 million and has a net income of $2,714.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $5,393.00 million. Because of these figures, the EBITDA margin is 7.47 percent (operating margin 6.05 percent and the net profit margin finally 3.76 percent).
Financial Analysis: The total debt representing 8.77 percent of the company’s assets and the total debt in relation to the equity amounts to 16.23 percent. Due to the financial situation, a return on equity of 18.56 percent was realized. Twelve trailing months earnings per share reached a value of $2.93. Last fiscal year, the company paid $0.75 in form of dividends to shareholders. The comany raised dividends for 36 consecutive years. The earnings per share are expected to grow 10.52 percent over the next five years yearly.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.69, P/S ratio 0.38 and P/B ratio 1.91. Dividend Yield: 2.82 percent. The beta ratio is 0.98.
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| Long-Term Stock History Chart Of Walgreen Company (Click to enlarge) |
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| Long-Term Dividends History of Walgreen Company (WAG) (Click to enlarge) |
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| Long-Term Dividend Yield History of Walgreen Company (NYSE: WAG) (Click to enlarge) |
Illinois Tool Works (NYSE:ITW) has a market capitalization of $25.56 billion. The company employs 65,000 people, generates revenues of $17,786.58 million and has a net income of $2,017.01 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3,320.68 million. Because of these figures, the EBITDA margin is 18.67 percent (operating margin 15.35 percent and the net profit margin finally 11.34 percent).
Financial Analysis: The total debt representing 22.19 percent of the company’s assets and the total debt in relation to the equity amounts to 39.83 percent. Due to the financial situation, a return on equity of 20.60 percent was realized. Twelve trailing months earnings per share reached a value of $3.84. Last fiscal year, the company paid $1.40 in form of dividends to shareholders. The comany raised dividends for 48 consecutive years. The earnings per share are expected to grow 12.26 percent over the next five years yearly.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.96, P/S ratio 1.44 and P/B ratio 2.60. Dividend Yield: 2.68 percent. The beta ratio is 1.18.
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| Long-Term Stock History Chart Of Illinois Tool Wor... (Click to enlarge) |
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| Long-Term Dividends History of Illinois Tool Wor... (ITW) (Click to enlarge) |
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| Long-Term Dividend Yield History of Illinois Tool Wor... (NYSE: ITW) (Click to enlarge) |
V.F. Corporation (NYSE:VFC) has a market capitalization of $14.66 billion. The company employs 58,000 people, generates revenues of $9,459.23 million and has a net income of $890.39 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,413.70 million. Because of these figures, the EBITDA margin is 14.95 percent (operating margin 13.16 percent and the net profit margin finally 9.41 percent).
Financial Analysis: The total debt representing 22.72 percent of the company’s assets and the total debt in relation to the equity amounts to 46.76 percent. Due to the financial situation, a return on equity of 21.18 percent was realized. Twelve trailing months earnings per share reached a value of $8.05. Last fiscal year, the company paid $2.61 in form of dividends to shareholders. The comany raised dividends for 39 consecutive years. The earnings per share are expected to grow 13.08 percent over the next five years yearly.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 16.62, P/S ratio 1.55 and P/B ratio 3.27. Dividend Yield: 2.15 percent. The beta ratio is 0.95.
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| Long-Term Stock History Chart Of V.F. Corporation (Click to enlarge) |
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| Long-Term Dividends History of V.F. Corporation (VFC) (Click to enlarge) |
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| Long-Term Dividend Yield History of V.F. Corporation (NYSE: VFC) (Click to enlarge) |
Take a closer look at the full table of Dividend Aristocrats with biggest growth potential. The average price to earnings ratio (P/E ratio) amounts to 17.25 and forward P/E ratio is 12.56. The dividend yield has a value of 2.45 percent. Price to book ratio is 3.40 and price to sales ratio 1.41. The operating margin amounts to 13.16 percent. The average company from the screen should grow 12.57 percent yearly in earnings over the next half decade.
Here is the full table with
some fundamentals (TTM):
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| Dividend Aristocrats With Double-Digit Growth Potential (Click to enlarge) |
Related stock
ticker symbols:
LEG, EMR, AFL,
APD, WAG, MMM, ITW, SWK, PPG, TROW, MHP, DOV, TGT, VFC, HRL, LOW, GWW, CTAS, SHW,
FDO, ECL
Selected Articles:
I am long MMM. 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.
