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Thomson Reuters (TRI) - Dividend Idea Of The Week With 4.4% Dividend-Yield And 31.76% Upside

Our Dividend Idea of the day is the financial information provider Thomson Reuters (NYSE:TRI). The stock price closed at $28.84 and the fair value is expected by Morningstar at $38.00, which represents an upside of 31.76%.

Thomson Reuters (TRI) is a provider of information for the world’s businesses and professionals. As of January 1, 2012, the Company was organized in four business units: Financial & Risk, a provider of news, information and analytics; Legal, a provider of critical information, decision support tools, software and services to legal, investigation, business and Government professionals worldwide; Tax & Accounting, a provider of integrated tax compliance and accounting information, software and services for professionals in accounting firms, corporations, law firms and Government, and Intellectual Property & Science, a provider of intellectual property and scientific resources. In June 2012, Veritas Capital acquired the healthcare unit of Thomson Reuters and rebranded the business as Truven Health Analytics. In June 2012, the Company acquired Zawya Ltd. In July 2012, the Company acquired Lex Nova, a provider of legal and labor information in the Spanish market. More from Reuters » 

Thomson Reuters has a market capitalization of $23.81 billion. The company generates revenue of $13,807.00 million and has a net income of $-1,396.00 million. The firm’s EBITDA amounts to $855.00 million. The EBITDA margin is 6.19% (operating margin -5.11% and net profit margin -10.11%).

The total debt represents 23.38% of the company’s assets and the total debt in relation to the equity amounts to 46.29%. Last fiscal year, a return on equity of -7.87% was realized. Twelve trailing months earnings per share reached a value of $-1.18. Last fiscal year, the company paid $1.24 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is not calculable, Price/Sales 1.72 and Price/Book ratio 1.47. Dividend Yield: 4.44%. The beta ratio is 0.95.

TRI raised dividend for 19 consecutive years. The biggest risks come from the financial sector, a major customer group of Thompson Reuters. 

Here are the competitors of Thomson Reuters (NYSE:TRI):

News Corp (NWSA) has a market capitalization of $59.63 billion. The company generates revenue of $33,706.00 million and has a net income of $1,407.00 million. The firm’s EBITDA amounts to $3,684.00 million. The EBITDA margin is 10.93% (operating margin 6.56% and net profit margin 4.17%).

The total debt represents 27.28% of the company’s assets and the total debt in relation to the equity amounts to 62.61%. Last fiscal year, a return on equity of 4.31% was realized. Twelve trailing months earnings per share reached a value of $0.44. Last fiscal year, the company paid $0.18 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 57.29, Price/Sales 1.77 and Price/Book ratio 2.43. Dividend Yield: 0.67%. The beta ratio is 1.49.

McGraw-Hill (MHP) has a market capitalization of $15.64 billion. The company generates revenue of $6,246.00 million and has a net income of $858.00 million. The firm’s EBITDA amounts to $1,807.00 million. The EBITDA margin is 28.93% (operating margin 22.77% and net profit margin 13.74%).

The total debt represents 18.64% of the company’s assets and the total debt in relation to the equity amounts to 79.44%. Last fiscal year, a return on equity of 44.90% was realized. Twelve trailing months earnings per share reached a value of $2.87. Last fiscal year, the company paid $1.00 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 19.48, Price/Sales 2.50 and Price/Book ratio 10.22. Dividend Yield: 1.83%. The beta ratio is 1.09.

Reed Elsevier (RUK) has a market capitalization of $11.87 billion. The company generates revenue of $5,122.63 million and has a net income of $654.62 million. The firm’s EBITDA amounts to $1,482.51 million. The EBITDA margin is 28.94% (operating margin 19.58% and net profit margin 12.78%).

The total debt represents 0.00% of the company’s assets and the total debt in relation to the equity amounts to 0.00%. Last fiscal year, a return on equity of 36.94% was realized. Twelve trailing months earnings per share reached a value of $2.69. Last fiscal year, the company paid $1.39 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 14.56, Price/Sales 4.27 and Price/Book ratio 6.33. Dividend Yield: 3.53%. The beta ratio is 0.74.

IHS (IHS) has a market capitalization of $6.21 billion. The company generates revenue of $1,325.64 million and has a net income of $135.29 million. The firm’s EBITDA amounts to $260.47 million. The EBITDA margin is 19.65% (operating margin 13.01% and net profit margin 10.21%).

The total debt represents 26.15% of the company’s assets and the total debt in relation to the equity amounts to 58.02%. Last fiscal year, a return on equity of 10.57% was realized. Twelve trailing months earnings per share reached a value of $2.03. Last fiscal year, the company paid $0.00 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 46.50, Price/Sales 4.68 and Price/Book ratio 4.43. Dividend Yield: none. The beta ratio is 0.51.

FactSet Research (FDS) has a market capitalization of $4.21 billion. The company generates revenue of $805.79 million and has a net income of $188.81 million. The firm’s EBITDA amounts to $306.77 million. The EBITDA margin is 38.07% (operating margin 33.88% and net profit margin 23.43%).

Twelve trailing months earnings per share reached a value of $4.13. Last fiscal year, the company paid $1.16 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 22.99, Price/Sales 5.25 and Price/Book ratio 7.63. Dividend Yield: 1.30%. The beta ratio is 1.18.

Broadridge Financial (BR) has a market capitalization of $2.92 billion. The company generates revenue of $2,303.50 million and has a net income of $125.00 million. The firm’s EBITDA amounts to $286.00 million. The EBITDA margin is 12.42% (operating margin 8.72% and net profit margin 5.43%).

The total debt represents 26.38% of the company’s assets and the total debt in relation to the equity amounts to 61.66%. Last fiscal year, a return on equity of 15.17% was realized. Twelve trailing months earnings per share reached a value of $0.98. Last fiscal year, the company paid $0.64 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 23.89, Price/Sales 1.27 and Price/Book ratio 3.44. Dividend Yield: 3.08%. The beta ratio is 0.75.

Dun & Bradstreet (DNB) has a market capitalization of $3.72 billion. The company generates revenue of $1,758.50 million and has a net income of $258.90 million. The firm’s EBITDA amounts to $498.80 million. The EBITDA margin is 28.37% (operating margin 23.75% and net profit margin 14.72%).

The total debt represents 48.81% of the company’s assets. Twelve trailing months earnings per share reached a value of $5.64. Last fiscal year, the company paid $1.44 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 14.70, Price/Sales 2.12 and Price/Book ratio is not calculable. Dividend Yield: 1.83%. The beta ratio is 0.65.

Morningstar (MORN) has a market capitalization of $3.09 billion. The company generates revenue of $631.40 million and has a net income of $96.47 million. The firm’s EBITDA amounts to $181.33 million. The EBITDA margin is 28.72% (operating margin 21.92% and net profit margin 15.28%).

The total debt represents 0.00% of the company’s assets and the total debt in relation to the equity amounts to 0.00%. Last fiscal year, a return on equity of 11.99% was realized. Twelve trailing months earnings per share reached a value of $1.92. Last fiscal year, the company paid $0.25 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 33.26, Price/Sales 4.90 and Price/Book ratio 3.74. Dividend Yield: 0.63%. The beta ratio is 1.12.

Nielsen (NLSN) has a market capitalization of $11.12 billion. The company generates revenue of $5,532.00 million and has a net income of $82.00 million. The firm’s EBITDA amounts to $1,284.00 million. The EBITDA margin is 23.21% (operating margin 14.35% and net profit margin 1.48%).

The total debt represents 46.63% of the company’s assets and the total debt in relation to the equity amounts to 145.97%. Last fiscal year, a return on equity of 2.21% was realized. Twelve trailing months earnings per share reached a value of $0.88. Last fiscal year, the company paid $0.00 in form of dividends to shareholders.

Here are the price ratios of the company: The P/E ratio is 34.81, Price/Sales 2.01 and Price/Book ratio 2.39. Dividend Yield: is not calculable. The beta ratio is not calculable.



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* I am long TRI since 2010. 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.

The stock analysis, including the rating and up/down potential, is based on historical information and provided by several data provider like Thompson Reuters, Morningstar, GoogleFinance, YahooFinance and MSN. The analysis assumes the stock will perform in the future as it has in the past. This is generally never true. Material presented here is for informational purposes only. Before buying or selling a security, you should do your own research and reach your own conclusion.