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7 Dividend Income Stocks Beating The Market Twice

I’ve found seven A-rated income stocks that are kicking off yields higher than the S&P 500 — and in one case, five times better than the S&P average. Plus, these income stocks have great growth prospects — they’re more than just income stocks and they make excellent total return plays.

The run the gamut from major financial players to real estate investment trusts (REITs) in key markets to telecom and retail to shipping.

But the one thing they all promise is above average total returns. Each represents a stock that has strong momentum in its respective sector, which bodes well for growth, and has a very respectable dividend given today’s low inflation rate.

The goal is to find stocks where their dividend yield outpaces the inflation rate so you are compounding the dividends over time, adding to your wealth. In many of these stocks you can also reinvest the dividends (depending upon your broker) so you can slowly, continually buy the stocks. 

Then, whatever growth you get from the stocks is an added kicker that goes straight to your bottom line. Here are the seven income stocks that should continue to grow:

Nordic American Tanker -- Yield: 10.37%

Nordic American Tanker (NYSE:NAT) employs 2 people, generates revenue of $351.05 million and has a net income of $-14.47 million. The current market capitalization stands at $1.31 billion.

Nordic American Tanker’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $75.76 million. The EBITDA margin is 21.58% (the operating margin is -1.36% and the net profit margin -4.12%).

Financials: The total debt represents 21.39% of Nordic American Tanker assets and the total debt in relation to the equity amounts to 28.34%. Due to the financial situation, a return on equity of -1.47% was realized by Nordic American Tanker.

Twelve trailing months earnings per share reached a value of $0.15. Last fiscal year, Nordic American Tanker paid $0.63 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 99.64, the P/S ratio is 3.72 and the P/B ratio is finally 1.48. The dividend yield amounts to 10.37%.

Stock Charts:


Long-Term Stock Price Chart of Nordic American Tanker (NAT)
Long-Term Stock Price Chart of Nordic American Tanker (NAT)
Long-Term Dividend Payment History of Nordic American Tanker (NAT)
Long-Term Dividend Payment History of Nordic American Tanker (NAT)
Long-Term Dividend Yield History of Nordic American Tanker (NAT)
Long-Term Dividend Yield History of Nordic American Tanker (NAT)


Blackstone Group -- Yield: 6.50%

Blackstone Group (NYSE:BX) employs 2,190 people, generates revenue of $7,484.73 million and has a net income of $3,695.55 million. The current market capitalization stands at $48.40 billion.

Blackstone Group’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,746.63 million. The EBITDA margin is 63.42% (the operating margin is 48.48% and the net profit margin 49.37%).

Financials: The total debt represents 28.36% of Blackstone Group assets and the total debt in relation to the equity amounts to 126.59%. Due to the financial situation, a return on equity of 23.71% was realized by Blackstone Group.

Twelve trailing months earnings per share reached a value of $3.14. Last fiscal year, Blackstone Group paid $1.92 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.15, the P/S ratio is 6.47 and the P/B ratio is finally 3.45. The dividend yield amounts to 6.50%.

Stock Charts:


Long-Term Stock Price Chart of Blackstone Group (BX)
Long-Term Stock Price Chart of Blackstone Group (BX)
Long-Term Dividend Payment History of Blackstone Group (BX)
Long-Term Dividend Payment History of Blackstone Group (BX)
Long-Term Dividend Yield History of Blackstone Group (BX)
Long-Term Dividend Yield History of Blackstone Group (BX)


Digital Realty Trust -- Yield: 4.97%

Digital Realty Trust (NYSE:DLR) employs 860 people, generates revenue of $1,616.44 million and has a net income of $203.42 million. The current market capitalization stands at $9.30 billion.

Digital Realty Trust’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $923.65 million. The EBITDA margin is 57.14% (the operating margin is 15.95% and the net profit margin 12.58%).

Financials: The total debt represents 49.05% of Digital Realty Trust assets and the total debt in relation to the equity amounts to 120.50%. Due to the financial situation, a return on equity of 4.62% was realized by Digital Realty Trust.

Twelve trailing months earnings per share reached a value of $1.48. Last fiscal year, Digital Realty Trust paid $3.27 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 46.70, the P/S ratio is 5.75 and the P/B ratio is finally 3.28. The dividend yield amounts to 4.97%.

Stock Charts:


Long-Term Stock Price Chart of Digital Realty Trust (DLR)
Long-Term Stock Price Chart of Digital Realty Trust (DLR)
Long-Term Dividend Payment History of Digital Realty Trust (DLR)
Long-Term Dividend Payment History of Digital Realty Trust (DLR)
Long-Term Dividend Yield History of Digital Realty Trust (DLR)
Long-Term Dividend Yield History of Digital Realty Trust (DLR)


Home Properties -- Yield: 4.15%

Home Properties (NYSE:HME) employs 1,200 people, generates revenue of $671.92 million and has a net income of $108.85 million. The current market capitalization stands at $4.23 billion.

Home Properties’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $400.82 million. The EBITDA margin is 59.65% (the operating margin is 31.03% and the net profit margin 16.20%).

Financials: The total debt represents 54.72% of Home Properties assets and the total debt in relation to the equity amounts to 148.57%. Due to the financial situation, a return on equity of 5.63% was realized by Home Properties.

Twelve trailing months earnings per share reached a value of $2.25. Last fiscal year, Home Properties paid $2.92 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 32.50, the P/S ratio is 6.30 and the P/B ratio is finally 2.56. The dividend yield amounts to 4.15%.

Stock Charts:


Long-Term Stock Price Chart of Home Properties (HME)
Long-Term Stock Price Chart of Home Properties (HME)
Long-Term Dividend Payment History of Home Properties (HME)
Long-Term Dividend Payment History of Home Properties (HME)
Long-Term Dividend Yield History of Home Properties (HME)
Long-Term Dividend Yield History of Home Properties (HME)


Aircastle Limited -- Yield: 3.90%

Aircastle Limited (NYSE:AYR) employs 97 people, generates revenue of $818.60 million and has a net income of $97.77 million. The current market capitalization stands at $1.83 billion.

Aircastle Limited’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $721.82 million. The EBITDA margin is 88.18% (the operating margin is 35.66% and the net profit margin 11.94%).

Financials: The total debt represents 60.97% of Aircastle Limited assets and the total debt in relation to the equity amounts to 220.68%. Due to the financial situation, a return on equity of 5.95% was realized by Aircastle Limited.

Twelve trailing months earnings per share reached a value of $1.71. Last fiscal year, Aircastle Limited paid $0.80 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 13.15, the P/S ratio is 2.24 and the P/B ratio is finally 1.06. The dividend yield amounts to 3.90%.

Stock Charts:


Long-Term Stock Price Chart of Aircastle Limited (AYR)
Long-Term Stock Price Chart of Aircastle Limited (AYR)
Long-Term Dividend Payment History of Aircastle Limited (AYR)
Long-Term Dividend Payment History of Aircastle Limited (AYR)
Long-Term Dividend Yield History of Aircastle Limited (AYR)
Long-Term Dividend Yield History of Aircastle Limited (AYR)


China Mobile -- Yield: 2.94%

China Mobile (NYSE:CHL) employs 241,550 people, generates revenue of $103,446.00 million and has a net income of $17,643.69 million. The current market capitalization stands at $262.13 billion.

China Mobile’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $38,277.64 million. The EBITDA margin is 37.00% (the operating margin is 18.29% and the net profit margin 17.06%).

Financials: The total debt represents 0.39% of China Mobile assets and the total debt in relation to the equity amounts to 0.59%. Due to the financial situation, a return on equity of 13.28% was realized by China Mobile.

Twelve trailing months earnings per share reached a value of $4.32. Last fiscal year, China Mobile paid $10.17 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 14.98, the P/S ratio is 2.53 and the P/B ratio is finally 1.89. The dividend yield amounts to 2.94%.

Stock Charts:


Long-Term Stock Price Chart of China Mobile (CHL)
Long-Term Stock Price Chart of China Mobile (CHL)
Long-Term Dividend Payment History of China Mobile (CHL)
Long-Term Dividend Payment History of China Mobile (CHL)
Long-Term Dividend Yield History of China Mobile (CHL)
Long-Term Dividend Yield History of China Mobile (CHL)


Target -- Yield: 2.70%

Target (NYSE:TGT) employs 347,000 people, generates revenue of $72,618.00 million and has a net income of $2,449.00 million. The current market capitalization stands at $52.99 billion.

Target’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,665.00 million. The EBITDA margin is 9.18% (the operating margin is 6.25% and the net profit margin 3.37%).

Financials: The total debt represents 30.91% of Target assets and the total debt in relation to the equity amounts to 91.42%. Due to the financial situation, a return on equity of 16.20% was realized by Target.

Twelve trailing months earnings per share reached a value of $3.92. Last fiscal year, Target paid $1.99 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.98, the P/S ratio is 0.73 and the P/B ratio is finally 3.80. The dividend yield amounts to 2.70%.

Stock Charts:


Long-Term Stock Price Chart of Target (TGT)
Long-Term Stock Price Chart of Target (TGT)
Long-Term Dividend Payment History of Target (TGT)
Long-Term Dividend Payment History of Target (TGT)
Long-Term Dividend Yield History of Target (TGT)
Long-Term Dividend Yield History of Target (TGT)