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12 Fastest Growing Dividend Stocks In The Dow Jones Index

Dow Jones Index Stocks With Highest Expected 5-Year Earnings Per Share Growth Researched By “long-term-investments.blogspot.com”. Some people might say that the Dow Jones in an index with slow growing value stocks with more or less stable dividends. The whole index is ex-growth and not rewarded by many growth investors. They search high growth within the technology sector on the NASDAQ or somewhere else, maybe in penny stocks. I will show you in this post, that the Dow Jones Index has more to offer than boring value stocks with flat dividends.

I made a screen of the 30 stocks from the Dow Jones and discovered those with a double-digit long-term growth rate, expected by analysts. Exactly for twelve companies is the upcoming earnings per share estimated to grow by more than ten percent yearly. Not bad for boring stocks with a huge portion of value. Of the results are ten with a current buy or better recommendation.



Here are my favorite stocks:
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United Technologies (NYSE:UTX) has a market capitalization of $71.55 billion. The company employs 199,900 people, generates revenue of $58.19 billion and has a net income of $5.37 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9.39 billion. The EBITDA margin is 16.13 percent (the operating margin is 13.92 percent and the net profit margin 9.24 percent).

Financial Analysis: The total debt represents 16.70 percent of the company’s assets and the total debt in relation to the equity amounts to 46.89 percent. Due to the financial situation, a return on equity of 23.02 percent was realized. Twelve trailing months earnings per share reached a value of $5.78. Last fiscal year, the company paid $1.86 in the form of dividends to shareholders. The earnings per share are expected to grow by 11.90 percent for the next five years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.50, the P/S ratio is 1.23 and the P/B ratio is finally 3.24. The dividend yield amounts to 2.74 percent and the beta ratio has a value of 1.05.


Long-Term Stock History Chart Of United Technologies (Click to enlarge)
Long-Term Dividends History of United Technologies (UTX) (Click to enlarge)
Long-Term Dividend Yield History of United Technologies (NYSE: UTX) (Click to enlarge)

Caterpillar (NYSE:CAT) has a market capitalization of $56.04 billion. The company employs 132,825 people, generates revenue of $60.14 billion and has a net income of $5.01 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9.59 billion. The EBITDA margin is 15.95 percent (the operating margin is 11.89 percent and the net profit margin 8.32 percent).

Financial Analysis: The total debt represents 42.47 percent of the company’s assets and the total debt in relation to the equity amounts to 268.51 percent. Due to the financial situation, a return on equity of 41.57 percent was realized. Twelve trailing months earnings per share reached a value of $9.77. Last fiscal year, the company paid $1.82 in the form of dividends to shareholders. The earnings per share are expected to grow by 14.00 percent for the next five years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 8.78, the P/S ratio is 0.93 and the P/B ratio is finally 4.31. The dividend yield amounts to 2.42 percent and the beta ratio has a value of 1.86.


Long-Term Stock History Chart Of Caterpillar (Click to enlarge)
Long-Term Dividends History of Caterpillar (CAT) (Click to enlarge)
Long-Term Dividend Yield History of Caterpillar (NYSE: CAT) (Click to enlarge)

The Home Depot (NYSE:HD) has a market capitalization of $93.49 billion. The company employs 331,000 people, generates revenue of $70.40 billion and has a net income of $3.88 billion. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $8.23 billion. The EBITDA margin is 11.70 percent (the operating margin is 9.46 percent and the net profit margin 5.52 percent).

Financial Analysis: The total debt represents 26.63 percent of the company’s assets and the total debt in relation to the equity amounts to 60.27 percent. Due to the financial situation, a return on equity of 21.11 percent was realized. Twelve trailing months earnings per share reached a value of $2.80. Last fiscal year, the company paid $1.04 in the form of dividends to shareholders. The earnings per share are expected to grow by 14.54 percent for the next five years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 22.17, the P/S ratio is 1.33 and the P/B ratio is finally 5.33. The dividend yield amounts to 1.87 percent and the beta ratio has a value of 0.82.


Long-Term Stock History Chart Of The Home Depot (Click to enlarge)
Long-Term Dividends History of The Home Depot (HD) (Click to enlarge)
Long-Term Dividend Yield History of The Home Depot (NYSE: HD) (Click to enlarge)

Walt Disney (NYSE:DIS) has a market capitalization of $89.46 billion. The company employs 156,000 people, generates revenue of $40.89 billion and has a net income of $5.26 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9.64 billion. The EBITDA margin is 23.58 percent (the operating margin is 19.67 percent and the net profit margin 12.86 percent).

Financial Analysis: The total debt represents 19.78 percent of the company’s assets and the total debt in relation to the equity amounts to 38.16 percent. Due to the financial situation, a return on equity of 12.84 percent was realized. Twelve trailing months earnings per share reached a value of $3.02. Last fiscal year, the company paid $0.60 in the form of dividends to shareholders. The earnings per share are expected to grow by 12.96 percent for the next five years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 16.48, the P/S ratio is 2.19 and the P/B ratio is finally 2.35. The dividend yield amounts to 1.20 percent and the beta ratio has a value of 1.18.


Long-Term Stock History Chart Of Walt Disney (Click to enlarge)
Long-Term Dividends History of Walt Disney (DIS) (Click to enlarge)
Long-Term Dividend Yield History of Walt Disney (NYSE: DIS) (Click to enlarge)


Take a closer look at the full table of the fastest growing companies within the Dow Jones Index. The average P/E ratio amounts to 13.34 and forward P/E ratio is 12.48. The dividend yield has a value of 2.30 percent. Price to book ratio is 2.91 and price to sales ratio 1.31. The operating margin amounts to 14.46 percent. The average stock has a debt to equity ratio of 1.20.

Here is the full table with some fundamentals (TTM):

12 fastest growing stocks in the Dow Jones (Click to enlarge)

These 12 stocks of the Dow Jones have a double-digit expected earnings growth. Which are the best stocks to make money? Click here to get the answer live from twitter.

Related stock ticker symbols:
HD, CAT, DIS, UTX, TRV, AA, UNH, GE, BA, INTC, AXP, MMM

Selected Articles:

I am long UTX, GE. 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.