The answer is quiet simple:
Invest in high quality dividend paying businesses at reduced prices. Warren Buffett knows this well. It is one of the ways he has grown his fortune to over $60 billion.
Warren Buffett is a great idol and many of us have looked at his portfolio in order to get new ideas and to learn from his investment approach.
Attached you will find a selection of 10 stocks that might be interesting for Warren after the latest market correction.
Maybe you might agree with me or not. The results show some of the best high quality dividend stocks you can catch on the market.
It does not mean that those promise a high return but they could offer more value and stability to your portfolio.
Here are the results I'm talking about...
Cummins -- Yield: 4.06%
Cummins (NYSE:CMI) employs 55,200 people, generates revenue of $19,110.00 million and has a net income of $1,470.00 million. The current market capitalization stands at $16.78 billion.Cummins’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,500.00 million. The EBITDA margin is 13.08% (the operating margin is 10.76% and the net profit margin 7.69%).
Financials: The total debt represents 10.83% of Cummins assets and the total debt in relation to the equity amounts to 22.13%. Due to the financial situation, a return on equity of 18.46% was realized by Cummins.
Twelve trailing months earnings per share reached a value of $7.82. Last fiscal year, Cummins paid $3.51 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.49, the P/S ratio is 0.88 and the P/B ratio is finally 2.27. The dividend yield amounts to 4.06%.
Stock Charts:
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| Long-Term Stock Price Chart of Cummins (CMI) |
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| Long-Term Dividend Payment History of Cummins (CMI) |
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| Long-Term Dividend Yield History of Cummins (CMI) |
Archer Daniels Midland -- Yield: 3.55%
Archer Daniels Midland (NYSE:ADM) employs 32,300 people, generates revenue of $67,702.00 million and has a net income of $1,846.00 million. The current market capitalization stands at $20.60 billion.Archer Daniels Midland’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,892.00 million. The EBITDA margin is 4.27% (the operating margin is 2.67% and the net profit margin 2.73%).
Financials: The total debt represents 14.64% of Archer Daniels Midland assets and the total debt in relation to the equity amounts to 32.83%. Due to the financial situation, a return on equity of 9.87% was realized by Archer Daniels Midland.
Twelve trailing months earnings per share reached a value of $2.99. Last fiscal year, Archer Daniels Midland 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 11.58, the P/S ratio is 0.30 and the P/B ratio is finally 1.13. The dividend yield amounts to 3.55%.
Stock Charts:
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| Long-Term Stock Price Chart of Archer Daniels Midland (ADM) |
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| Long-Term Dividend Payment History of Archer Daniels Midland (ADM) |
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| Long-Term Dividend Yield History of Archer Daniels Midland (ADM) |
Flowers Foods -- Yield: 3.39%
Flowers Foods (NYSE:FLO) employs 10,380 people, generates revenue of $3,778.50 million and has a net income of $189.19 million. The current market capitalization stands at $3.70 billion.Flowers Foods’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $433.85 million. The EBITDA margin is 11.48% (the operating margin is 7.88% and the net profit margin 5.01%).
Financials: The total debt represents 34.96% of Flowers Foods assets and the total debt in relation to the equity amounts to 81.14%. Due to the financial situation, a return on equity of 15.99% was realized by Flowers Foods.
Twelve trailing months earnings per share reached a value of $0.89. Last fiscal year, Flowers Foods paid $0.57 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.35, the P/S ratio is 0.96 and the P/B ratio is finally 2.92. The dividend yield amounts to 3.39%.
Stock Charts:
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| Long-Term Stock Price Chart of Flowers Foods (FLO) |
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| Long-Term Dividend Payment History of Flowers Foods (FLO) |
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| Long-Term Dividend Yield History of Flowers Foods (FLO) |
Johnson Controls -- Yield: 3.24%
Johnson Controls (NYSE:JCI) employs 139,000 people, generates revenue of $37,179.00 million and has a net income of $1,551.00 million. The current market capitalization stands at $23.81 billion.Johnson Controls’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $3,340.00 million. The EBITDA margin is 8.98% (the operating margin is 5.79% and the net profit margin 4.17%).
Financials: The total debt represents 16.70% of Johnson Controls assets and the total debt in relation to the equity amounts to 47.74%. Due to the financial situation, a return on equity of 13.27% was realized by Johnson Controls.
Twelve trailing months earnings per share reached a value of $2.14. Last fiscal year, Johnson Controls paid $1.04 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 17.05, the P/S ratio is 0.62 and the P/B ratio is finally 2.23. The dividend yield amounts to 3.24%.
Stock Charts:
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| Long-Term Stock Price Chart of Johnson Controls (JCI) |
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| Long-Term Dividend Payment History of Johnson Controls (JCI) |
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| Long-Term Dividend Yield History of Johnson Controls (JCI) |
Wal-Mart Stores -- Yield: 2.98%
Wal-Mart Stores (NYSE:WMT) employs 2,200,000 people, generates revenue of $482,130.00 million and has a net income of $15,080.00 million. The current market capitalization stands at $219.99 billion.Wal-Mart Stores’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $33,559.00 million. The EBITDA margin is 6.96% (the operating margin is 5.00% and the net profit margin 3.13%).
Financials: The total debt represents 25.07% of Wal-Mart Stores assets and the total debt in relation to the equity amounts to 62.12%. Due to the financial situation, a return on equity of 18.15% was realized by Wal-Mart Stores.
Twelve trailing months earnings per share reached a value of $4.56. Last fiscal year, Wal-Mart Stores paid $1.96 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 14.91, the P/S ratio is 0.45 and the P/B ratio is finally 2.67. The dividend yield amounts to 2.98%.
Stock Charts:
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| Long-Term Stock Price Chart of Wal-Mart Stores (WMT) |
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| Long-Term Dividend Payment History of Wal-Mart Stores (WMT) |
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| Long-Term Dividend Yield History of Wal-Mart Stores (WMT) |
United Technologies -- Yield: 2.73%
United Technologies (NYSE:UTX) employs 197,000 people, generates revenue of $56,098.00 million and has a net income of $4,356.00 million. The current market capitalization stands at $83.84 billion.United Technologies’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9,613.00 million. The EBITDA margin is 17.14% (the operating margin is 13.00% and the net profit margin 7.76%).
Financials: The total debt represents 23.35% of United Technologies assets and the total debt in relation to the equity amounts to 74.66%. Due to the financial situation, a return on equity of 13.64% was realized by United Technologies.
Twelve trailing months earnings per share reached a value of $4.49. Last fiscal year, United Technologies paid $2.56 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 21.86, the P/S ratio is 1.40 and the P/B ratio is finally 2.87. The dividend yield amounts to 2.73%.
Stock Charts:
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| Long-Term Stock Price Chart of United Technologies (UTX) |
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| Long-Term Dividend Payment History of United Technologies (UTX) |
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| Long-Term Dividend Yield History of United Technologies (UTX) |
Abbott Laboratories -- Yield: 2.65%
Abbott Laboratories (NYSE:ABT) employs 74,000 people, generates revenue of $20,405.00 million and has a net income of $2,606.00 million. The current market capitalization stands at $59.62 billion.Abbott Laboratories’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $4,434.00 million. The EBITDA margin is 21.73% (the operating margin is 14.05% and the net profit margin 12.77%).
Financials: The total debt represents 20.76% of Abbott Laboratories assets and the total debt in relation to the equity amounts to 40.37%. Due to the financial situation, a return on equity of 12.20% was realized by Abbott Laboratories.
Twelve trailing months earnings per share reached a value of $1.73. Last fiscal year, Abbott Laboratories 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 22.88, the P/S ratio is 2.83 and the P/B ratio is finally 2.72. The dividend yield amounts to 2.65%.
Stock Charts:
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| Long-Term Stock Price Chart of Abbott Laboratories (ABT) |
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| Long-Term Dividend Payment History of Abbott Laboratories (ABT) |
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| Long-Term Dividend Yield History of Abbott Laboratories (ABT) |
Parker-Hannifin -- Yield: 2.49%
Parker-Hannifin (NYSE:PH) employs 54,750 people, generates revenue of $12,711.74 million and has a net income of $1,012.55 million. The current market capitalization stands at $13.78 billion.Parker-Hannifin’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,907.32 million. The EBITDA margin is 15.00% (the operating margin is 11.27% and the net profit margin 7.97%).
Financials: The total debt represents 23.97% of Parker-Hannifin assets and the total debt in relation to the equity amounts to 57.74%. Due to the financial situation, a return on equity of 17.21% was realized by Parker-Hannifin.
Twelve trailing months earnings per share reached a value of $6.04. Last fiscal year, Parker-Hannifin paid $2.37 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 16.83, the P/S ratio is 1.08 and the P/B ratio is finally 2.75. The dividend yield amounts to 2.49%.
Stock Charts:
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| Long-Term Stock Price Chart of Parker-Hannifin (PH) |
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| Long-Term Dividend Payment History of Parker-Hannifin (PH) |
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| Long-Term Dividend Yield History of Parker-Hannifin (PH) |
Walt Disney -- Yield: 1.49%
Walt Disney (NYSE:DIS) employs 185,000 people, generates revenue of $52,465.00 million and has a net income of $8,852.00 million. The current market capitalization stands at $156.13 billion.Walt Disney’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $15,578.00 million. The EBITDA margin is 29.69% (the operating margin is 25.10% and the net profit margin 16.87%).
Financials: The total debt represents 19.66% of Walt Disney assets and the total debt in relation to the equity amounts to 38.94%. Due to the financial situation, a return on equity of 18.73% was realized by Walt Disney.
Twelve trailing months earnings per share reached a value of $5.36. Last fiscal year, Walt Disney paid $1.81 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 17.85, the P/S ratio is 2.97 and the P/B ratio is finally 3.43. The dividend yield amounts to 1.49%.
Stock Charts:
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| Long-Term Stock Price Chart of Walt Disney (DIS) |
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| Long-Term Dividend Payment History of Walt Disney (DIS) |
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| Long-Term Dividend Yield History of Walt Disney (DIS) |