Pages

7 High Quality Stocks With Solid Room To Grow Dividends While Paying High Yields

It's hard to find good investments, especially in a market where everybody can discover the same fundamentals.

The stock market is one of the most competitive and transparent markets in the whole world. The good thing is that free information helps us to get a better overview of price ratios and risk premiums.

I'm a very fundamental driven investor and screen the capital market by several criteria related to debt, price, free cash flow, growth and so on.

Today I like to introduce 7 high quality stocks with a debt to total capital less than 40, free cash payout less than 60% and with a yield above 2.5%.

These are the results:

Emerson Electric -- Yield: 3.24%

Emerson Electric (NYSE:EMR) employs 115,100 people, generates revenue of $24,537.00 million and has a net income of $2,184.00 million. The current market capitalization stands at $38.83 billion.

Emerson Electric’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,936.00 million. The EBITDA margin is 20.12% (the operating margin is 14.44% and the net profit margin 8.90%).

Financials: The total debt represents 24.92% of Emerson Electric assets and the total debt in relation to the equity amounts to 59.53%. Due to the financial situation, a return on equity of 20.74% was realized by Emerson Electric.

Twelve trailing months earnings per share reached a value of $3.80. Last fiscal year, Emerson Electric paid $1.72 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 15.47, the P/S ratio is 1.58 and the P/B ratio is finally 4.00. The dividend yield amounts to 3.24%.

Stock Charts:

Long-Term Stock Price Chart of Emerson Electric (EMR)
Long-Term Stock Price Chart of Emerson Electric (EMR)
Long-Term Dividend Payment History of Emerson Electric (EMR)
Long-Term Dividend Payment History of Emerson Electric (EMR)
Long-Term Dividend Yield History of Emerson Electric (EMR)
Long-Term Dividend Yield History of Emerson Electric (EMR)



Johnson & Johnson -- Yield: 3.01%

Johnson & Johnson (NYSE:JNJ) employs 126,500 people, generates revenue of $74,331.00 million and has a net income of $16,323.00 million. The current market capitalization stands at $276.36 billion.

Johnson & Johnson’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $26,305.00 million. The EBITDA margin is 35.39% (the operating margin is 27.66% and the net profit margin 21.96%).

Financials: The total debt represents 14.31% of Johnson & Johnson assets and the total debt in relation to the equity amounts to 26.90%. Due to the financial situation, a return on equity of 22.70% was realized by Johnson & Johnson.

Twelve trailing months earnings per share reached a value of $5.59. Last fiscal year, Johnson & Johnson paid $2.76 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 18.16, the P/S ratio is 3.72 and the P/B ratio is finally 3.98. The dividend yield amounts to 3.01%.

Stock Charts:

Long-Term Stock Price Chart of Johnson & Johnson (JNJ)
Long-Term Stock Price Chart of Johnson & Johnson (JNJ)
Long-Term Dividend Payment History of Johnson & Johnson (JNJ)
Long-Term Dividend Payment History of Johnson & Johnson (JNJ)
Long-Term Dividend Yield History of Johnson & Johnson (JNJ)
Long-Term Dividend Yield History of Johnson & Johnson (JNJ)

Cisco Systems -- Yield: 2.92%

Cisco Systems (NASDAQ:CSCO) employs 74,042 people, generates revenue of $47,142.00 million and has a net income of $7,853.00 million. The current market capitalization stands at $147.04 billion.

Cisco Systems’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $12,195.00 million. The EBITDA margin is 25.87% (the operating margin is 19.82% and the net profit margin 16.66%).

Financials: The total debt represents 19.89% of Cisco Systems assets and the total debt in relation to the equity amounts to 36.91%. Due to the financial situation, a return on equity of 13.57% was realized by Cisco Systems.

Twelve trailing months earnings per share reached a value of $1.67. Last fiscal year, Cisco Systems 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 17.47, the P/S ratio is 3.12 and the P/B ratio is finally 2.60. The dividend yield amounts to 2.92%.

Stock Charts:

Long-Term Stock Price Chart of Cisco Systems (CSCO)
Long-Term Stock Price Chart of Cisco Systems (CSCO)
Long-Term Dividend Payment History of Cisco Systems (CSCO)
Long-Term Dividend Payment History of Cisco Systems (CSCO)
Long-Term Dividend Yield History of Cisco Systems (CSCO)
Long-Term Dividend Yield History of Cisco Systems (CSCO)

Microsoft -- Yield: 2.66%

Microsoft (NASDAQ:MSFT) employs 128,000 people, generates revenue of $86,833.00 million and has a net income of $22,074.00 million. The current market capitalization stands at $377.78 billion.

Microsoft’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $37,919.00 million. The EBITDA margin is 43.67% (the operating margin is 31.85% and the net profit margin 25.42%).

Financials: The total debt represents 13.14% of Microsoft assets and the total debt in relation to the equity amounts to 25.22%. Due to the financial situation, a return on equity of 26.17% was realized by Microsoft.

Twelve trailing months earnings per share reached a value of $2.41. Last fiscal year, Microsoft paid $1.12 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.84, the P/S ratio is 4.35 and the P/B ratio is finally 4.29. The dividend yield amounts to 2.66%.

Stock Charts:

Long-Term Stock Price Chart of Microsoft (MSFT)
Long-Term Stock Price Chart of Microsoft (MSFT)
Long-Term Dividend Payment History of Microsoft (MSFT)
Long-Term Dividend Payment History of Microsoft (MSFT)
Long-Term Dividend Yield History of Microsoft (MSFT)
Long-Term Dividend Yield History of Microsoft (MSFT)

3M -- Yield: 2.58%

3M (NYSE:MMM) employs 89,800 people, generates revenue of $31,821.00 million and has a net income of $4,998.00 million. The current market capitalization stands at $100.61 billion.

3M’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $8,553.00 million. The EBITDA margin is 26.88% (the operating margin is 22.42% and the net profit margin 15.71%).

Financials: The total debt represents 22.05% of 3M assets and the total debt in relation to the equity amounts to 52.61%. Due to the financial situation, a return on equity of 32.38% was realized by 3M.

Twelve trailing months earnings per share reached a value of $7.53. Last fiscal year, 3M paid $3.42 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.32, the P/S ratio is 3.16 and the P/B ratio is finally 7.68. The dividend yield amounts to 2.58%.

Stock Charts:

Long-Term Stock Price Chart of 3M (MMM)
Long-Term Stock Price Chart of 3M (MMM)
Long-Term Dividend Payment History of 3M (MMM)
Long-Term Dividend Payment History of 3M (MMM)
Long-Term Dividend Yield History of 3M (MMM)
Long-Term Dividend Yield History of 3M (MMM)

Texas Instruments -- Yield: 2.52%

Texas Instruments (NASDAQ:TXN) employs 31,003 people, generates revenue of $13,045.00 million and has a net income of $2,821.00 million. The current market capitalization stands at $56.24 billion.

Texas Instruments’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $5,126.00 million. The EBITDA margin is 39.29% (the operating margin is 30.26% and the net profit margin 21.63%).

Financials: The total debt represents 26.19% of Texas Instruments assets and the total debt in relation to the equity amounts to 44.68%. Due to the financial situation, a return on equity of 26.20% was realized by Texas Instruments.

Twelve trailing months earnings per share reached a value of $2.77. Last fiscal year, Texas Instruments paid $1.24 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.78, the P/S ratio is 4.31 and the P/B ratio is finally 5.45. The dividend yield amounts to 2.52%.

Stock Charts:

Long-Term Stock Price Chart of Texas Instruments (TXN)
Long-Term Stock Price Chart of Texas Instruments (TXN)
Long-Term Dividend Payment History of Texas Instruments (TXN)
Long-Term Dividend Payment History of Texas Instruments (TXN)
Long-Term Dividend Yield History of Texas Instruments (TXN)
Long-Term Dividend Yield History of Texas Instruments (TXN)

AFLAC Incorporated -- Yield: 2.45%

AFLAC Incorporated (NYSE:AFL) employs 9,235 people, generates revenue of $22,759.00 million and has a net income of $2,951.00 million. The current market capitalization stands at $27.66 billion.

AFLAC Incorporated’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,002.00 million. The EBITDA margin is 26.37% (the operating margin is 21.13% and the net profit margin 12.97%).

Financials: The total debt represents 4.41% of AFLAC Incorporated assets and the total debt in relation to the equity amounts to 28.79%. Due to the financial situation, a return on equity of 17.90% was realized by AFLAC Incorporated.

Twelve trailing months earnings per share reached a value of $6.41. Last fiscal year, AFLAC Incorporated paid $1.50 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.02, the P/S ratio is 1.22 and the P/B ratio is finally 1.54. The dividend yield amounts to 2.45%.

Stock Charts:

Long-Term Stock Price Chart of AFLAC Incorporated (AFL)
Long-Term Stock Price Chart of AFLAC Incorporated (AFL)
Long-Term Dividend Payment History of AFLAC Incorporated (AFL)
Long-Term Dividend Payment History of AFLAC Incorporated (AFL)
Long-Term Dividend Yield History of AFLAC Incorporated (AFL)
Long-Term Dividend Yield History of AFLAC Incorporated (AFL)