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Showing posts with label MJN. Show all posts
Showing posts with label MJN. Show all posts

20 Big Dividend Challengers With Highest Margins

Dividend income growth stocks with high margins and big market capitalization originally published at "long-term-investments.blogspot.com". Every dividend is only half worth as it should be when the dividend payments are not sustainable or from a low margin business that needs money to keep the business running.

What investors want is a high profitability, a high margin. The strong dividend comes from alone in the long-run.

Today I like to focus on dividend growth stocks that have raised their payments over a period of more than five years but less than 10 years in a row. I like to show you, which of the higher capitalized companies work at the highest margins on the market. 

It’s quite different to compare unequal business models but that’s the nature of economic. Investors look for the most profitable opportunities and they want to put their money into the most promising vehicle. Tobacco delivers a greater return than food. But food gives you a better return than retail.

The results show the top 20 companies with margins between 17.57 percent and 32.67 percent. Eleven of the results have a current buy or better recommendation.

17 Highest Dividend Paying Processed & Packaged Goods Stocks

The highest yielding processed and packaged goods stocks originally published at "long-term-investments.blogspot.com". One of my favorite industries within the consumer goods sector is the processed and packaged goods industry. Only 35 companies have a relationship to the industry and 17 of them pay dividends.

I love the industry because of the high number of low beta stocks. Foods and consumer goods are daily consumption products with essential functions. Consumers don’t stop washing or cooking if the economy is going down. Sure if they lose their job they need to look for cheaper products or scout for less services and quality but they don’t stop consuming. That’s also the reason why I love the processed and packaged goods industry. Car purchases will be deferred but toilet paper and deodorant buys not in the same way.


Linked is a small list of the highest dividend paying processed and packaged goods stocks. 12 of them have a current buy or better recommendation.


Kellogg Is The New Stock Holding In The Dividend Yield Passive Income Portfolio

On Friday 08, 2013 I put 25 shares of the processed & packaged goods company Kellogg into the Dividend Yield Passive Income Portfolio (DYPI). 

The total purchase amount was $1,543 at a stock price of $61.52. Kellogg represents now 1.47 percent of the full portfolio which was funded virtual with 100k on October 03, 2012.

Kellogg manufactures and markets ready-to-eat cereal and convenience food products primarily in North America, Europe, Latin America, and the Asia Pacific. It primarily produces snacks and frozen food, including cookies, crackers, toaster pastries, cereal bars, fruit-flavored snacks, frozen waffles, and veggie foods. The company sells its products to grocery trade through its direct sales force, brokers, and distributors under the Kellogg's name.

The current dividend yield of Kellogg amounts to 2.86% and the P/E ratio has a value of 23.94. Growth is expected in earnings for the next years around the 7% percent mark. That’s solid in my view.

The new stake will hike my current dividend income by $44. The total gross income is now estimated at $1,221.97. I plan to boost the passive income to $3,000 – 4,000 by the end of the year. All I need to do is to invest the remaining capital of $67,127.40 into dividend stocks with a yield around the 3% mark.

Dividend Yield Passive Income Portfolio


Latest Portfolio Transactions

The Kellogg buy is the second stock purchase with a yield below the 3% yield. You can see that its getting hard to find stocks with a higher yield. If I have luck, the next hike can lift the current yield above the magic level.

For sure, high quality stocks have a high price and you must pay it or leave the battle field. In my view it is still a better choice to have high valuated stocks with a top long-term growth perspective as being invested in bonds with a longer duration. In times of rising interest rates and gaining inflation, your bond portfolio will definitely loose the ground. Dividend stocks like Kellogg force the inflation and get stronger with every recession.


Kellogg Earnings and Dividends

The full portfolio is up 2.2 percent since the date of funding. Major indices gained 3-6% during the same period. The lower performance is reasonable with a high cash amount and the slow purchase process. I buy only one stock a week for around 1-2 percent of the portfolio value. This strategy hedges me against falling markets and could give a better average price but will also lead to a worser performance if the markets go strong up. Unfortunately, this happened in the past. My stockholdings delivered a total return of 6.15%. That’s a pretty good ratio and in-line with the market.


Portfolio Performance

Here is the income perspective of the portfolio:


Sym
Name
P/E Ratio
Dividend Yield

Buy
# Shrs
Income
Value
TRI
Thomson Reuters C
12.34
4.18

28.90
50
$64.25
$1,536.00
LMT
Lockheed Martin C
10.62
4.84

92.72
20
$86.00
$1,799.80
INTC
Intel Corporation
10.28
4.04

21.27
50
$44.25
$1,079.00
MCD
McDonald's Corpor
18.11
3.03

87.33
15
$44.10
$1,480.65
WU
Western Union Com
8.52
2.95

11.95
100
$42.50
$1,463.00
PM
Philip Morris Int
17.76
3.57

85.42
20
$65.58
$1,822.20
JNJ
Johnson & Johnson
20.14
3.14

69.19
20
$48.80
$1,563.80
MO
Altria Group Inc
16.49
5.01

33.48
40
$68.00
$1,360.00
SYY
Sysco Corporation
17.95
3.34

31.65
40
$43.60
$1,330.80
DRI
Darden Restaurant
13.57
4.06

46.66
30
$57.90
$1,419.90
CA
CA Inc.
12.69
4

21.86
50
$50.00
$1,254.00
PG
Procter & Gamble
17.45
2.92

68.72
25
$56.20
$1,929.50
KRFT
Kraft Foods Group
17.83
4.02

44.41
40
$80.00
$1,988.40
MAT
Mattel Inc.
18.58
3.13

36.45
40
$51.60
$1,657.20
PEP
Pepsico Inc. Com
19.66
2.79

70.88
20
$43.00
$1,544.00
KMB
Kimberly-Clark Co
21.26
3.22

86.82
15
$45.45
$1,412.85
COP
ConocoPhillips Co
8.61
4.52

61.06
20
$52.80
$1,167.80
GIS
General Mills In
17.14
2.79

42.13
30
$38.85
$1,389.90
UL
Unilever PLC Comm
20.45
3.08

39.65
35
$43.89
$1,431.15
NSRGY
NESTLE SA REG SHR
19.97
2.96

68.69
30
$63.15
$2,125.80
GE
General Electric
18.33
3.04

23.39
65
$46.80
$1,545.05
ADP
Automatic Data Pr
22.09
2.62

61.65
25
$41.50
$1,583.75
K
Kellogg Company C
23.02
2.85

61.52
25
$43.75
$1,538.00
















$1,221.97
$35,422.55
















Average Yield
3.45%
















Yield On Cost
3.67%

Ex-Dividend Stocks: Best Dividend Paying Shares On March 11, 2013

The best yielding and biggest ex-dividend stocks researched by ”long-term-investments.blogspot.com”. Dividend Investors should have a quiet overview of stocks with upcoming ex dividend dates.

The ex dividend date is the final date on which the new stock buyer couldn’t receive the next dividend. If you like to receive the dividend, you need to buy the stock before the ex dividend date. I made a little screen of the best yielding stocks with a higher capitalization that have their ex date on the next trading day.

A full list of all stocks with payment dates can be found here: Ex-Dividend Stocks March 11, 2013. In total, 22 stocks and preferred shares go ex dividend - of which 6 yield more than 3 percent. The average yield amounts to 3.97%.

Here is the sheet of the best yielding, higher capitalized ex-dividend stocks: 

Company
Ticker
Mcap
P/E
P/B
P/S
Yield
Triangle Capital Corporation
815.23M
13.44
1.95
9.74
7.10%
Ameren Corporation
8.26B
-
1.25
1.21
4.70%
Newmont Mining Corp.
19.63B
99.83
1.48
1.93
4.26%
UniSource Energy Corporation
1.97B
21.51
1.83
1.35
3.62%
Parkway Properties Inc.
986.63M
-
1.43
4.36
3.40%
Kohl's Corp.
10.62B
10.97
1.76
0.55
2.77%
Hewlett-Packard Company
40.71B
-
1.78
0.34
2.54%
Texas Roadhouse Inc.
1.37B
20.19
2.54
1.11
2.43%
State Auto Financial Corp.
681.99M
7.53
0.92
0.54
2.37%
PS Business Parks Inc.
1.83B
97.79
1.27
5.27
2.34%
Allegheny Technologies Inc.
3.46B
22.70
1.40
0.69
2.23%
Magna International, Inc.
12.92B
9.09
1.37
0.42
1.99%
T. Rowe Price Group, Inc.
19.29B
22.26
5.00
6.38
1.82%
Mead Johnson Nutrition
15.13B
25.25
830.33
3.88
1.61%
Pool Corp.
2.20B
27.70
7.82
1.13
1.36%
Employers Holdings, Inc.
683.93M
6.52
1.27
1.18
1.08%
Public Storage
25.84B
39.28
3.19
14.14
0.73%
Aegean Marine Petroleum Network
311.69M
13.38
0.63
0.04
0.60%
Amphenol Corporation
11.58B
21.39
4.79
2.70
0.58%
News Corp.
69.64B
17.72
2.48
2.03
0.57%