Basic Material Dividend Stocks With Improved Earnings Growth Researched By Dividend Yield - Stock, Capital, Investment. Basic material stocks are elementary for the economy. What they mine will be processed by downstream companies. The price of commodities leads to growth of the economy; stimulating or slowing down. Basic material stocks can only become to an unbeatable asset at high prices of raw materials.
In order to find some opportunities, I screened the sector by stocks with an earnings and sales growth of more than fifteen percent over the past five years. In order to catch up only those stocks with a gaining earnings momentum, I observed only those stocks with a quarter over quarter sales and earnings per share growth of more than twenty-five percent. Exactly eleven companies fulfilled these criteria of which one is a high yield; nine are recommended to buy.
Here are my favorite stocks:
Silver Wheaton (NYSE:SLW) has a market capitalization of $10.95 billion. The company employs 24 people, generates revenues of $730.00 million and has a net income of $550.03 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $615.63 million. Because of these figures, the EBITDA margin is 84.33 percent (operating margin 76.49 percent and the net profit margin finally 75.35 percent).
Financial Analysis:
The total debt representing 7.29 percent of the company’s assets and the total debt in relation to the equity amounts to 7.89 percent. Due to the financial situation, a return on equity of 22.38 percent was realized. Twelve trailing months earnings per share reached a value of $1.55. Last fiscal year, the company paid $0.18 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 20.03, P/S ratio 15.09 and P/B ratio 4.15. Dividend Yield: 1.15 percent. The beta ratio is 1.49.
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| Long-Term Stock History Chart Of Silver Wheaton Corp. (... (Click to enlarge) |
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| Long-Term Dividends History of Silver Wheaton Corp. (... (SLW) (Click to enlarge) |
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| Long-Term Dividend Yield History of Silver Wheaton Corp. (... (NYSE: SLW) (Click to enlarge) |
Sterlite Industries (NYSE:SLT) has a market capitalization of $7.06 billion. The company employs 14,478 people, generates revenues of $5,918.06 million and has a net income of $1,344.38 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,565.17 million. Because of these figures, the EBITDA margin is 26.45 percent (operating margin 22.34 percent and the net profit margin finally 22.72 percent).
Financial Analysis:
The total debt representing 15.70 percent of the company’s assets and the total debt in relation to the equity amounts to 28.60 percent. Due to the financial situation, a return on equity of 12.61 percent was realized. Twelve trailing months earnings per share reached a value of $1.20. Last fiscal year, the company paid $0.09 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 7.03, P/S ratio 1.24 and P/B ratio 0.89. Dividend Yield: 1.90 percent. The beta ratio is 2.34.
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| Long-Term Stock History Chart Of Sterlite Industries In... (Click to enlarge) |
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| Long-Term Dividends History of Sterlite Industries In... (SLT) (Click to enlarge) |
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| Long-Term Dividend Yield History of Sterlite Industries In... (NYSE: SLT) (Click to enlarge) |
Agrium (NYSE:AGU) has a market capitalization of $13.59 billion. The company employs 14,800 people, generates revenues of $15,470.00 million and has a net income of $1,508.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,487.00 million. Because of these figures, the EBITDA margin is 16.08 percent (operating margin 13.34 percent and the net profit margin finally 9.75 percent).
Financial Analysis:
The total debt representing 17.98 percent of the company’s assets and the total debt in relation to the equity amounts to 36.78 percent. Due to the financial situation, a return on equity of 25.91 percent was realized. Twelve trailing months earnings per share reached a value of $9.52. Last fiscal year, the company paid $0.28 in form of dividends to shareholders.
Market Valuation:
Here are the price ratios of the company: The P/E ratio is 9.03, P/S ratio 0.89 and P/B ratio 2.14. Dividend Yield: 0.52 percent. The beta ratio is 1.59.
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| Long-Term Stock History Chart Of Agrium Inc. (USA) (Click to enlarge) |
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| Long-Term Dividends History of Agrium Inc. (USA) (AGU) (Click to enlarge) |
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| Long-Term Dividend Yield History of Agrium Inc. (USA) (NYSE: AGU) (Click to enlarge) |
Take a closer look at the full table of basic material stocks with accelerated earnings growth. The average price to earnings ratio (P/E ratio) amounts to 14.87 and forward P/E ratio is 11.77. The dividend yield has a value of 1.73 percent. Price to book ratio is 2.53 and price to sales ratio 4.43. The operating margin amounts to 33.83 percent. Sales increased 59.51 percent compared to the figures from the same quarter last year (33.67 percent 5-year average) and the earnings per share grew 150.57 percent quarter over quarter (58.51 percent 5-year average).
Here is the full table with some fundamentals (TTM):
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| Basic Material Dividend Stocks With Gaining Momentum (Click to enlarge) |
Related stock ticker symbols:
CMLP, RES, SLT, EGO, HFC, SLW, CRR, CF, NOV, AGU, GOLD
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.