Healthcare Dividend Stocks With High Return On Investments And Big Operating Margins Researched By Dividend Yield - Stock, Capital, Investment. Healthcare dividend stocks delivered a fantastic return over the recent twenty years. Now, they are struggling due to the fact that most of their patents are drain off within the upcoming years. They have no serious alternative to compensate the expected revenue losses and to drive growth. Companies with high margins will survive the consolidation best. Here is a little screen of dividend stocks from the healthcare sector that have the best margins and returns. Both measured by a return on investment and an operating margin of more than 20 percent. Seven stocks fulfilled these criteria of which five come from the drug manufacturing industry. Also five have a current buy or better recommendation.
Here are my favorite stocks:
AstraZeneca (NYSE:AZN) has a market capitalization of $58.03 billion. The company employs 61,100 people, generates revenues of $33,591.00 million and has a net income of $10,016.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $15,345.00 million. Because of these figures, the EBITDA margin is 45.68 percent (operating margin 38.09 percent and the net profit margin finally 29.82 percent).
Financial Analysis:
The total debt representing 17.66 percent of the company’s assets and the total debt in relation to the equity amounts to 40.13 percent. Due to the financial situation, a return on equity of 42.98 percent was realized. Twelve trailing months earnings per share reached a value of $7.29. Last fiscal year, the company paid $2.80 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 6.21, P/S ratio 1.70 and P/B ratio 2.50. Dividend Yield: 6.24 percent. The beta ratio is 0.60.
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| Long-Term Stock History Chart Of AstraZeneca plc (ADR) (Click to enlarge) |
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| Long-Term Dividends History of AstraZeneca plc (ADR) (AZN) (Click to enlarge) |
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| Long-Term Dividend Yield History of AstraZeneca plc (ADR) (NYSE: AZN) (Click to enlarge) |
GlaxoSmithKline (NYSE:GSK) has a market capitalization of $113.86 billion. The company employs 96,461 people, generates revenues of $43,589.05 million and has a net income of $8,686.93 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $15,091.52 million. Because of these figures, the EBITDA margin is 34.62 percent (operating margin 28.50 percent and the net profit margin finally 19.93 percent).
Financial Analysis:
The total debt representing 36.27 percent of the company’s assets and the total debt in relation to the equity amounts to 185.52 percent. Due to the financial situation, a return on equity of 62.19 percent was realized. Twelve trailing months earnings per share reached a value of $3.29. Last fiscal year, the company paid $2.39 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 13.71, P/S ratio 2.55 and P/B ratio 8.75. Dividend Yield: 5.09 percent. The beta ratio is 0.61.
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| Long-Term Stock History Chart Of GlaxoSmithKline plc (ADR) (Click to enlarge) |
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| Long-Term Dividends History of GlaxoSmithKline plc (ADR) (GSK) (Click to enlarge) |
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| Long-Term Dividend Yield History of GlaxoSmithKline plc (ADR) (NYSE: GSK) (Click to enlarge) |
Novo Nordisk (NYSE:NVO) has a market capitalization of $79.06 billion. The company employs 32,136 people, generates revenues of $11,895.29 million and has a net income of $3,065.35 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,457.91 million. Because of these figures, the EBITDA margin is 37.48 percent (operating margin 33.72 percent and the net profit margin finally 25.77 percent).
Financial Analysis:
The total debt representing 1.32 percent of the company’s assets and the total debt in relation to the equity amounts to 2.28 percent. Due to the financial situation, a return on equity of 45.95 percent was realized. Twelve trailing months earnings per share reached a value of $5.44. Last fiscal year, the company paid $2.51 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 26.25, P/S ratio 5.63 and P/B ratio 11.61. Dividend Yield: 1.78 percent. The beta ratio is 0.56.
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| Long-Term Stock History Chart Of Novo Nordisk A/S (ADR) (Click to enlarge) |
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| Long-Term Dividends History of Novo Nordisk A/S (ADR) (NVO) (Click to enlarge) |
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| Long-Term Dividend Yield History of Novo Nordisk A/S (ADR) (NYSE: NVO) (Click to enlarge) |
Take a closer look at the full table. The average price to earnings ratio (P/E ratio) amounts to 15.08 and forward P/E ratio is 13.12. The dividend yield has a value of 4.62 percent. Price to book ratio is 6.29 and price to sales ratio 3.49. The operating margin amounts to 39.73 percent. Finally, the return on equity has a fantastic margin of 39.70 percent and the return on investment follows with a value of 45.12 percent.
Here is the full table with some fundamentals (TTM):
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| 7 Most Profitable Healthcare Dividend Stocks With Great Yields (Click to enlarge) |
Related stock ticker symbols:
PDLI, AZN, PMD, GSK, BMY, NVO, SHPGY
Selected Articles:
* 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.