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13 Safe Haven Large Caps With Over 3% Dividend Yields

Low volatility dividend stocks with cheap price ratios and top yields originally published at long-term-investments.blogspot.com. On my blog I’ve listed over 100 stocks with safe haven characteristics. For sure no stock is safe and no dividend is guaranteed but there are some shares with a higher risk and bigger volatility which I don’t like. I’m looking for low yielding stocks with solid debt ratios and modest growth perspectives with a proven business model and a long-term dividend growth history.

Today, I produced a screen with the following core criteria:

- Market Capitalization over USD 10 billion
- Debt-to-Equity Ratio below 0.5
- Beta Ratio Below one

In order to get the top yielding results with cheap expected P/E’s, I selected only those stocks with a forward P/E of less than 15 as well as a dividend yield of more than 3 percent. Only thirteen stocks fulfilled my safe haven characteristics of which two are High-Yields and seven are recommended to buy. Many telecoms are part of the results.

The sector is definitely low priced and there is a huge rumor about takeovers. I also have shares of AT&T and Rogers in my Dividend Yield Passive Income Portfolio.

Here are the top yielding stocks from the screening results:
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Telefonica Brasil (NYSE:VIV) has a market capitalization of $25.08 billion. The company employs 19,614 people, generates revenue of $15.201 billion and has a net income of $1.994 billion. Telefonica Brasil’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $5.198 billion. The EBITDA margin is 34.20 percent (the operating margin is 21.26 percent and the net profit margin 13.12 percent).

Financial Analysis: The total debt represents 11.39 percent of Telefonica Brasil’s assets and the total debt in relation to the equity amounts to 17.91 percent. Due to the financial situation, a return on equity of 10.12 percent was realized by Telefonica Brasil. Twelve trailing months earnings per share reached a value of $1.65. Last fiscal year, Telefonica Brasil paid $1.27 in the form of dividends to shareholders. Forward P/E: 12.88.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.54, the P/S ratio is 1.61 and the P/B ratio is finally 1.27. The dividend yield amounts to 9.37 percent and the beta ratio has a value of 0.62.

Long-Term Stock Price Chart Of Telefonica Brasil (VIV)
Long-Term Dividend Payment History of Telefonica Brasil (VIV)
Long-Term Dividend Yield History of Telefonica Brasil (VIV)

Ecopetrol (NYSE:EC) has a market capitalization of $94.96 billion. The company employs 8,087 people, generates revenue of $35.317 billion and has a net income of $7.863 billion. Ecopetrol’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $15.070 billion. The EBITDA margin is 42.67 percent (the operating margin is 35.23 percent and the net profit margin 22.26 percent).

Financial Analysis: The total debt represents 17.73 percent of Ecopetrol’s assets and the total debt in relation to the equity amounts to 38.40 percent. Due to the financial situation, a return on equity of 39.88 percent was realized by Ecopetrol. Twelve trailing months earnings per share reached a value of $3.46. Last fiscal year, Ecopetrol paid $3.17 in the form of dividends to shareholders. Forward P/E: 12.83.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.36, the P/S ratio is 2.73 and the P/B ratio is finally 4.82. The dividend yield amounts to 5.90 percent and the beta ratio has a value of 0.94.

Long-Term Stock Price Chart Of Ecopetrol (EC)
Long-Term Dividend Payment History of Ecopetrol (EC)
Long-Term Dividend Yield History of Ecopetrol (EC)

Total (NYSE:TOT) has a market capitalization of $133.63 billion. The company employs 97,126 people, generates revenue of $246.559 billion and has a net income of $14.662 billion. Total’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $44.973 billion. The EBITDA margin is 18.24 percent (the operating margin is 12.29 percent and the net profit margin 5.95 percent).

Financial Analysis: The total debt represents 19.37 percent of Total’s assets and the total debt in relation to the equity amounts to 45.66 percent. Due to the financial situation, a return on equity of 15.17 percent was realized by Total. Twelve trailing months earnings per share reached a value of $5.65. Last fiscal year, Total paid $3.16 in the form of dividends to shareholders. Forward P/E: 8.35.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.43, the P/S ratio is 0.56 and the P/B ratio is finally 1.33. The dividend yield amounts to 5.32 percent and the beta ratio has a value of 0.99.

Long-Term Stock Price Chart Of Total (TOT)
Long-Term Dividend Payment History of Total (TOT)
Long-Term Dividend Yield History of Total (TOT)

Intel (NASDAQ:INTC) has a market capitalization of $114.49 billion. The company employs 106,000 people, generates revenue of $53.341 billion and has a net income of $11.005 billion. Intel’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $22.160 billion. The EBITDA margin is 41.54 percent (the operating margin is 27.44 percent and the net profit margin 20.63 percent).

Financial Analysis: The total debt represents 15.94 percent of Intel’s assets and the total debt in relation to the equity amounts to 26.26 percent. Due to the financial situation, a return on equity of 22.66 percent was realized by Intel. Twelve trailing months earnings per share reached a value of $1.85. Last fiscal year, Intel paid $0.64 in the form of dividends to shareholders. Forward P/E: 11.65.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.42, the P/S ratio is 2.21 and the P/B ratio is finally 2.29. The dividend yield amounts to 3.80 percent and the beta ratio has a value of 0.97.

Long-Term Stock Price Chart Of Intel (INTC)
Long-Term Dividend Payment History of Intel (INTC)
Long-Term Dividend Yield History of Intel (INTC)

Take a closer look at the full list of safe haven stocks with chap P/E's and adequade dividend yields. The average P/E ratio amounts to 14.29 and forward P/E ratio is 11.88. The dividend yield has a value of 3.96 percent. Price to book ratio is 2.33 and price to sales ratio 2.38. The operating margin amounts to 23.78 percent and the beta ratio is 0.78. Stocks from the list have an average debt to equity ratio of 0.24.

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

Cheap Safe Haven Large Caps (Click to enlarge)

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Related Stock Ticker Symbols:
VIV, EC, TOT, INTC, CHL, AZN, MSFT, CA, PFE, CAJ, NVS, CVX, JNJ

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*I am long CHL, AZN, CA, JNJ. 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.