In order to ensure that you don't overpay a stock, you must have a strong focus on the valuation level, debt and growth figures as well as margins.
Below are five Dividend Champions with a low forward P/E (less than 15), a current dividend yield of more than 3 percent as well as a debt-to-equity ratio under 0.5.
The four most attractive Dividend Champions on the market are....
Old Republic International (NYSE:ORI) has a market capitalization of $4.29 billion. The company employs 7,900 people, generates revenue of $5,442.70 million and has a net income of $448.00 million. Old Republic International’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $718.60 million. The EBITDA margin is 13.20 percent (the operating margin is 12.77 percent and the net profit margin 8.23 percent).
Financial Analysis: The total debt represents 3.44 percent of Old Republic International’s assets and the total debt in relation to the equity amounts to 15.08 percent. Due to the financial situation, a return on equity of 12.15 percent was realized by Old Republic International. Twelve trailing months earnings per share reached a value of $2.03. Last fiscal year, Old Republic International paid $0.72 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 8.10, the P/S ratio is 0.79 and the P/B ratio is finally 1.13. The dividend yield amounts to 4.44 percent and the beta ratio has a value of 0.87.
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| Long-Term Stock Price Chart Of Old Republic International (ORI) |
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| Long-Term Dividend Payment History of Old Republic International (ORI) |
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| Long-Term Dividend Yield History of Old Republic International (ORI) |
Community Trust Bancorp (NASDAQ:CTBI) has a market capitalization of $599.78 million. The company employs 1,022 people, generates revenue of $148.13 million and has a net income of $45.17 million. Community Trust Bancorp’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $70.90 million. The EBITDA margin is 39.04 percent (the operating margin is 35.89 percent and the net profit margin 24.88 percent).
Financial Analysis: The total debt represents 7.87 percent of Community Trust Bancorp’s assets and the total debt in relation to the equity amounts to 68.33 percent. Due to the financial situation, a return on equity of 11.11 percent was realized by Community Trust Bancorp. Twelve trailing months earnings per share reached a value of $2.70. Last fiscal year, Community Trust Bancorp paid $1.15 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.77, the P/S ratio is 3.30 and the P/B ratio is finally 1.32. The dividend yield amounts to 3.37 percent and the beta ratio has a value of 0.91.
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| Long-Term Stock Price Chart Of Community Trust Bancorp (CTBI) |
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| Long-Term Dividend Payment History of Community Trust Bancorp (CTBI) |
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| Long-Term Dividend Yield History of Community Trust Bancorp (CTBI) |
Chevron (NYSE:CVX) has a market capitalization of $248.16 billion. The company employs 64,600 people, generates revenue of $220,264.00 million and has a net income of $21,597.00 million. Chevron’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $41,912.00 million. The EBITDA margin is 19.03 percent (the operating margin is 12.59 percent and the net profit margin 9.81 percent).
Financial Analysis: The total debt represents 8.05 percent of Chevron’s assets and the total debt in relation to the equity amounts to 13.70 percent. Due to the financial situation, a return on equity of 15.00 percent was realized by Chevron. Twelve trailing months earnings per share reached a value of $10.27. Last fiscal year, Chevron paid $3.90 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.69, the P/S ratio is 1.13 and the P/B ratio is finally 1.67. The dividend yield amounts to 3.28 percent and the beta ratio has a value of 1.06.
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| Long-Term Stock Price Chart Of Chevron (CVX) |
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| Long-Term Dividend Payment History of Chevron (CVX) |
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| Long-Term Dividend Yield History of Chevron (CVX) |
First Financial (NASDAQ:THFF) has a market capitalization of $434.05 million. The company employs 954 people, generates revenue of $116.22 million and has a net income of $31.53 million. First Financial’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $53.86 million. The EBITDA margin is 36.46 percent (the operating margin is 30.67 percent and the net profit margin 21.35 percent).
Financial Analysis: The total debt represents 1.97 percent of First Financial’s assets and the total debt in relation to the equity amounts to 15.43 percent. Due to the financial situation, a return on equity of 8.32 percent was realized by First Financial. Twelve trailing months earnings per share reached a value of $2.38. Last fiscal year, First Financial paid $0.96 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.67, the P/S ratio is 2.94 and the P/B ratio is finally 1.12. The dividend yield amounts to 3.02 percent and the beta ratio has a value of 1.06.
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| Long-Term Stock Price Chart Of First Financial (THFF) |
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| Long-Term Dividend Payment History of First Financial (THFF) |
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| Long-Term Dividend Yield History of First Financial (THFF) |
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*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.