It’s also true that the Federal Reserve has hinted it could raise its Fed funds rate soon, perhaps by year’s end.
The rate has been targeted at a historic low of 0% to 0.25% since late 2008, and recently hovered around an effective rate of 0.12%. What’s not clear is that a rise in the Fed funds rate would push yields on bonds substantially higher.
Don’t shy away from stocks with high dividend yields because of a looming interest rate hike. Do, however, favor companies with decent growth potential to complement their cash payouts. Below are three that yield over 4%.
Here are the results...
Alliance Holdings -- Yield: 15.76%
Alliance Holdings (NASDAQ:AHGP) employs 4,439 people, generates revenue of $2,300.32 million and has a net income of $492.67 million. The current market capitalization stands at $1.46 billion.Alliance Holdings’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $814.23 million. The EBITDA margin is 35.40% (the operating margin is 23.46% and the net profit margin 21.42%).
Financials: The total debt represents 36.62% of Alliance Holdings assets and the total debt in relation to the equity amounts to 148.41%. Due to the financial situation, a return on equity of 53.62% was realized by Alliance Holdings.
Twelve trailing months earnings per share reached a value of $4.24. Last fiscal year, Alliance Holdings paid $3.44 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 5.77, the P/S ratio is 0.63 and the P/B ratio is finally 2.58. The dividend yield amounts to 15.76%.
Stock Charts:
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| Long-Term Stock Price Chart of Alliance Holdings (AHGP) |
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| Long-Term Dividend Payment History of Alliance Holdings (AHGP) |
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| Long-Term Dividend Yield History of Alliance Holdings (AHGP) |
Plains All American Pipeline -- Yield: 10.87%
Plains All American Pipeline (NYSE:PAA) employs 5,300 people, generates revenue of $43,464.00 million and has a net income of $1,386.00 million. The current market capitalization stands at $10.25 billion.Plains All American Pipeline’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,193.00 million. The EBITDA margin is 5.05% (the operating margin is 4.12% and the net profit margin 3.19%).
Financials: The total debt represents 45.15% of Plains All American Pipeline assets and the total debt in relation to the equity amounts to 123.56%. Due to the financial situation, a return on equity of 11.60% was realized by Plains All American Pipeline.
Twelve trailing months earnings per share reached a value of $1.21. Last fiscal year, Plains All American Pipeline paid $2.55 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 22.12, the P/S ratio is 0.24 and the P/B ratio is finally 1.24. The dividend yield amounts to 10.87%.
Stock Charts:
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| Long-Term Stock Price Chart of Plains All American Pipeline (PAA) |
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| Long-Term Dividend Payment History of Plains All American Pipeline (PAA) |
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| Long-Term Dividend Yield History of Plains All American Pipeline (PAA) |
AmeriGas Partners L.P. -- Yield: 8.93%
AmeriGas Partners L.P. (NYSE:APU) employs 8,000 people, generates revenue of $2,885.32 million and has a net income of $214.97 million. The current market capitalization stands at $3.83 billion.AmeriGas Partners L.P.’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $575.59 million. The EBITDA margin is 19.95% (the operating margin is 13.19% and the net profit margin 7.45%).
Financials: The total debt represents % of AmeriGas Partners L.P. assets and the total debt in relation to the equity amounts to %. Due to the financial situation, a return on equity of % was realized by AmeriGas Partners L.P..
Twelve trailing months earnings per share reached a value of $1.92. Last fiscal year, AmeriGas Partners L.P. paid $3.60 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.18, the P/S ratio is 1.33 and the P/B ratio is finally . The dividend yield amounts to 8.93%.
Stock Charts:
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| Long-Term Stock Price Chart of AmeriGas Partners L.P. (APU) |
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| Long-Term Dividend Payment History of AmeriGas Partners L.P. (APU) |
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| Long-Term Dividend Yield History of AmeriGas Partners L.P. (APU) |
Energy Transfer Equity -- Yield: 6.25%
Energy Transfer Equity (NYSE:ETE) employs 1,609 people, generates revenue of $55,691.00 million and has a net income of $1,060.00 million. The current market capitalization stands at $19.07 billion.Energy Transfer Equity’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,379.00 million. The EBITDA margin is 7.86% (the operating margin is 4.39% and the net profit margin 1.90%).
Financials: The total debt represents 47.56% of Energy Transfer Equity assets and the total debt in relation to the equity amounts to 4,617.62%. Due to the financial situation, a return on equity of 71.25% was realized by Energy Transfer Equity.
Twelve trailing months earnings per share reached a value of $0.97. Last fiscal year, Energy Transfer Equity paid $0.75 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 20.43, the P/S ratio is 0.34 and the P/B ratio is finally 29.56. The dividend yield amounts to 6.25%.
Stock Charts:
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| Long-Term Stock Price Chart of Energy Transfer Equity (ETE) |
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| Long-Term Dividend Payment History of Energy Transfer Equity (ETE) |
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| Long-Term Dividend Yield History of Energy Transfer Equity (ETE) |
AT&T -- Yield: 5.82%
AT&T (NYSE:T) employs 281,240 people, generates revenue of $132,447.00 million and has a net income of $6,518.00 million. The current market capitalization stands at $198.77 billion.AT&T’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $32,139.00 million. The EBITDA margin is 24.27% (the operating margin is 8.87% and the net profit margin 4.92%).
Financials: The total debt represents 27.61% of AT&T assets and the total debt in relation to the equity amounts to 91.47%. Due to the financial situation, a return on equity of 6.89% was realized by AT&T.
Twelve trailing months earnings per share reached a value of $0.86. Last fiscal year, AT&T paid $1.84 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 38.58, the P/S ratio is 1.50 and the P/B ratio is finally 1.87. The dividend yield amounts to 5.82%.
Stock Charts:
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| Long-Term Stock Price Chart of AT&T (T) |
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| Long-Term Dividend Payment History of AT&T (T) |
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| Long-Term Dividend Yield History of AT&T (T) |
Verizon Communications -- Yield: 5.11%
Verizon Communications (NYSE:VZ) employs 177,900 people, generates revenue of $127,079.00 million and has a net income of $11,956.00 million. The current market capitalization stands at $179.97 billion.Verizon Communications’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $43,239.00 million. The EBITDA margin is 34.03% (the operating margin is 15.42% and the net profit margin 9.41%).
Financials: The total debt represents 48.68% of Verizon Communications assets and the total debt in relation to the equity amounts to 921.05%. Due to the financial situation, a return on equity of 37.65% was realized by Verizon Communications.
Twelve trailing months earnings per share reached a value of $2.51. Last fiscal year, Verizon Communications paid $2.16 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 17.92, the P/S ratio is 1.42 and the P/B ratio is finally 14.94. The dividend yield amounts to 5.11%.
Stock Charts:
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| Long-Term Stock Price Chart of Verizon Communications (VZ) |
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| Long-Term Dividend Payment History of Verizon Communications (VZ) |
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| Long-Term Dividend Yield History of Verizon Communications (VZ) |
South Jersey Industries -- Yield: 4.26%
South Jersey Industries (NYSE:SJI) employs 700 people, generates revenue of $887.00 million and has a net income of $105.41 million. The current market capitalization stands at $1.64 billion.South Jersey Industries’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $206.11 million. The EBITDA margin is 23.24% (the operating margin is 14.39% and the net profit margin 11.88%).
Financials: The total debt represents 38.06% of South Jersey Industries assets and the total debt in relation to the equity amounts to 136.71%. Due to the financial situation, a return on equity of 11.10% was realized by South Jersey Industries.
Twelve trailing months earnings per share reached a value of $1.45. Last fiscal year, South Jersey Industries 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 16.49, the P/S ratio is 1.84 and the P/B ratio is finally 1.73. The dividend yield amounts to 4.26%.
Stock Charts:
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| Long-Term Stock Price Chart of South Jersey Industries (SJI) |
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| Long-Term Dividend Payment History of South Jersey Industries (SJI) |
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| Long-Term Dividend Yield History of South Jersey Industries (SJI) |
Daktronics -- Yield: 4.12%
Daktronics (NASDAQ:DAKT) employs 2,420 people, generates revenue of $615.94 million and has a net income of $20.88 million. The current market capitalization stands at $426.25 million.Daktronics’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $46.25 million. The EBITDA margin is 7.51% (the operating margin is 5.08% and the net profit margin 3.39%).
Financials: The total debt represents 1.00% of Daktronics assets and the total debt in relation to the equity amounts to 1.78%. Due to the financial situation, a return on equity of 10.06% was realized by Daktronics.
Twelve trailing months earnings per share reached a value of $0.36. Last fiscal year, Daktronics paid $0.40 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 26.94, the P/S ratio is 0.69 and the P/B ratio is finally 2.00. The dividend yield amounts to 4.12%.
Stock Charts:
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| Long-Term Stock Price Chart of Daktronics (DAKT) |
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| Long-Term Dividend Payment History of Daktronics (DAKT) |
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| Long-Term Dividend Yield History of Daktronics (DAKT) |
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| 8 Cheap Dividend Growth Stocks With Yields Over 4% And Decent Growth Potential (click to enlarge) |
