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Showing posts with label Beta. Show all posts
Showing posts with label Beta. Show all posts

17 High Momentum Healthcare Dividend Stocks

Healthcare dividend stocks with highest beta ratios originally published at long-term-investments.blogspot.com. You know that I am a conservative investor and try to minimize my risk.

This strategy is necessary if you have a larger amount of money to take care of or you begin to cry when you lose 10 percent on your book value. The second disadvantage is that you lose performance in a strong up moving market. 

Since 2009, there were nearly no bigger corrections at the market but with low beta and safe haven stocks, your performance would be only half of the return from the markets. What you need to get a push for your portfolio is a high beta stock. I don’t recommend buying them because it’s a definitely riskier strategy and nobody knows when the market turns into a bearish mood.

However, let’s take a look at the high fly momentum stocks from the healthcare sector. Those are stocks with the highest beta ratio from the sector. They have a beta between 1 and 2. With focus on the dividend paying stocks, only 17 stocks from the healthcare sector pay a dividend and being correlated with the market by a factor of up to 2.

One High-Yield is below the results and 16 have a current buy or better rating by brokerage firms.

15 High Beta Dividend Stocks With Very Low Market Valuation

A high beta dividend share with very low forward P/E’s originally published at long-term-investments.blogspot.com. I often hear from others that they want to make quick and fast money. I can understand this wish from some investors. If you don’t have enough money for your investing goals, you need to speculate in order to get a higher amount of money in a very short time.

This is a very dangerous process. I’m a believer in slow growing dividend growth and I think that if you safe each month a bit, in the end you will definitely have a high amount of money. The stock market could help you to boost your money with a 5 to 10 percent return.

Speculation is not investing. It’s money gambling like casino or poker. Today I would like to introduce you some of the stocks with the highest sentiment on the market. I used the S&P 500 High Beta Index for the stock ideas. The index covers 100 stocks from the broad S&P 500 with the highest sensitivity to market movements over the past 12 months. The beta ratio is the main valuation driver.

Exactly 71 companies from the S&P 500 High Beta Index pay actual a dividend. I wanted to know which of them are really cheap for the time being. Because there are 52 stocks with a low forward P/E, I selected only those high beta stocks with a very low forward price ratio. 15 shares are valuated with a forward P/E of less than 10 and 13 of them are currently recommended to buy. You can find a list of the results below.

20 Of The Safest Dividend Challengers On The Market

Dividend Challengers with lowest beta ratios originally published at "long-term-investments.blogspot.com". I love high-quality dividend growth stocks and the stocks with the longest history of consecutive payments are definitely Dividend Kings and Dividend Champions. But the big disadvantage of them is that they are also highly priced.

You cannot make a greater return with stocks that have a P/E ratio of 22 and grows only at 5 percent. You need real bargains to make big profit with your asset.

This problem can be solved when you look into the dividend potentials. Those stocks haven’t yet reached a longer dividend payment history but they can become a great Dividend Champion within the next years. The price ratios are also lower for some companies and you have a better choice to find good investments because out there are around 160 stocks with five or more years of consecutive dividend payments and 207 with a payment between 10 to 25 years.

Today I like to screen the third class of dividend growth stocks by the safest alternatives. The 20 safest dividend growth stocks have a beta ratio between 0.18 and 0.55. All three top picks come from the oil & gas pipeline industry, a branch with very stable sales and future growth perspectives due to the shale gas boom in the United States.

From the 20 safest Dividend Challengers have nine a current buy or better rating.

14 Companies From The S&P 500 Low Volatility High Dividend Index With Low Debt Figures

Low leveraged stocks from the S&P 500 Low Volatility High Dividend index originally published at "long-term-investments.blogspot.com". I love high yielding stocks but most of them have a high debt burden or they grow too slow or they are not really diversified for my approach.

Every investor wants to make profits on the stock market and he tries to minimize the risk of a stock loss. An index that covers stocks with a low volatility and great dividends is the S&P 500 Low Volatility High Dividend index. The index is designed to serve as a benchmark for income-seeking investors in the U.S. equity market. 50 constituents are part of the index.

Today I like to show you which of the index members have the lowest debt ratios. I observe only stocks with a debt to equity ratio of less than 0.5. Only 14 companies fulfilled these criteria of which eight are currently recommended to buy. Drug stocks and major integrated oil and gas companies are the biggest groups of the results.

The Safest Dividend Aristocrats - 20 Potential Stocks To Beat The Down Going Market

Dividend Aristocrats with lowest beta ratios from the index originally published at "long-term-investments.blogspot.com". 

Dividend Aristocrats are wonderful income growth stocks. They have raised their dividend payments over a period of more than 25 consecutive years and they are selected by the credit rating agency to be a constituent of the popular S&P 500 Dividend Aristocrats index.

Exactly 54 companies are part of the index but some of them are very volatile. They have a bigger risk and you can discover this by the beta ratio. Just in times of a weak and down going market, it’s good to have stocks with a very low beta ratio.

Below is a list of the 20 Dividend Aristocrats with the lowest beta ratio of the index. The ratios are between 0.16 and 0.64. Every stock on the list has a performance which represents roughly 20 to 60 percent of the overall market. In a falling market you will have a performance advantage.

The Safest Consumer Dividend Stocks | 20 Exclusive Shares

Consumer dividend stocks with low beta ratios and high market capitalization originally published at "long-term-investments.blogspot.com". Today I like to close my monthly screen theme “the safest dividend stocks” with the consumer goods sector.

Consumer goods stocks are one of my favorite sectors because of the strong relationship to the end-consumer. As a result, sales and earnings are less volatile than in other sectors. Not enough, most of them are great long-term dividend plays. From 390 stocks pay 193 dividends. That’s pretty good ratio.

However, below is a list of the best yielding large cap consumer dividend stocks with a volatility lower than the overall market.

It’s not surprising that the big tobacco companies are on the top results. You can hate them or not but they are still some of the safest dividend stocks on the market. Below the top 20 results are three High-Yields, eleven are recommended to buy.

20 Basic Material Dividend Stocks With Top Yields And Low Volatility

Basic material dividend stocks with low betas and large market capitalization originally published at "long-term-investments.blogspot.com". When I buy stocks I ever take a look at the risk fundamentals of a company. Beside the market capitalization, the beta ratio is a meaningful ratio. The ratio shows investors how volatile a stock is compared to the overall market. A beta value of 1.2 means: The stock has a 20 percent higher volatility than the market. I use this tool to identify the underlying risks of a business model. For sure, it’s not perfect but a good first step to evaluate the risk situation.

Today I like to run my screen for the safest basic material stocks. These are my criteria:

- Market Capitalization over USD 10 billion
- Beta ratio below 1

Linked are the 20 best yielding stocks. 14 of them have a current buy or better recommendation and five are high-yields. Oil and gas companies are the dominating category.

8 Industrial Dividend Stocks, Safer Than The Overall Market

Industrial dividend stocks with low beta ratios and large market capitalization originally published at "long-term-investments.blogspot.com". A diversified portfolio is the basis for a strong stability. The more industries and sectors you cover, the lower the single risk you own. This insurance costs performance because nobody could know in detail which sectors will run good over the next years and which are the big loser.

Today I like to go forward with my monthly screen of the safest stocks from the major sectors. Industrials are in focus of my research. These are my criteria:

- Market Capitalization over USD 10 billion
- Beta ratio below 1

Only eight companies fulfilled these criteria of which five have a current buy or better rating. The number of stocks is very low. It could be related to the fact that the sector has only 360 companies listed and industrials are more cyclic.

17 Safest Stocks From The Financial Sector

Financial stocks with low beta ratios and high market capitalization originally published at "long-term-investments.blogspot.com". The financial sector is still under fire. Low interest rates and higher risks within the bond buying industry make it hard to earn money on investments. As a result, thousands of people lose their job and the sector is shrinking. Bank of America cut its workforce by over 30,000 people and their competitors follow.

Not everything is bad within the financial sector. If you have followed my screens over the past months, you could find there more and more good looking banks and asset managers as well as insurers.

Today I like to discover the best yielding dividend stocks from the financial sector with real safe heaven characteristics. My criteria are:

- Market Capitalization over USD 10 billion
- Beta ratio below 1

The stock should have a lower volatility than the overall market. For sure, these are not the only trigger ratios to seek out the highest degree of stability for a stock. Especially in the financial sector are more risks than in other industries. Banks are still black boxes because you never know what kind of risk exposure they have in detail.

The screen produced 17 stocks of which two have a double-digit yield. Eight of them are currently recommended to buy.

The Safest Dividend Stocks From The Services Sector With Top Yields

The safest stocks from the services sector with high yields originally published at "long-term-investments.blogspot.com". Today I like to continue with my monthly session of the safest dividend stocks. Now I like to analyze the services sector. It’s a big source to find stocks because there are 870 companies listed.

I love it when stocks have reached a critical mass to finance future growth with own economics of scale. Being big is also a great competitive advantage which is hard to copy when the industry is still consolidated.

Large caps with a lower volatility than the market (beta below one) are available for investors. 28 in total have such a wonderful ratio of which 12 are recommended to buy. Linked are the 20 top yielding stocks.

20 Of The Safest Utilities With Best Dividend Yields

Some of the safest utilities originally published at "long-term-investments.blogspot.com". Many people say that utilities have a higher degree of safeness because of the stability and the relationships to their clients. 

That’s primarily true but utilities have also two big burdens. They don’t grow fast and if they grow they need greather amounts of money. The second problem is that most of the utilities are very capital intensive and they fulfill their capital needs with loans. That’s normally not a problem because a utility has stable cash flows and can get access to the capital market very easy.

Today I like to look at the safest dividend stocks from the utility sector. 123 equities are available on the market. I screen all of them by a market capitalization over USD 10 billion and beta ratio below one.

Linked is a list of the 20 best yielding companies. Three of them are High-Yields and eight have a buy or better recommendation.

20 Top Yielding Technology Stocks That Are Safer Than The Market

Technology dividend stocks with a volatility lower than the market originally published at "long-term-investments.blogspot.com". Today I like to continue with my monthly screen theme “Stocks with a lower volatility than the market”. The technology sector is now subject of my analysis. In total, there are 859 stocks listed - one of the biggest sectors on the market.

Linked is a sheet of the 20 best yielding technology dividend stocks with a market capitalization over USD 10 billion as well as a beta ratio below one.

Three of the results are High-Yields and eleven are recommended to buy. Telecom services as well as wireless communication stocks are major contributors to the results. They have some great characteristics in term of safeness buy they are also higher leveraged with debt.

20 Best Yielding Healthcare Stocks With A Lower Volatility Than The Market

Healthcare dividend stocks that are less volatile than the market originally published at "long-term-investments.blogspot.com". This month I like to show you the best yielding large cap stocks from all sectors that are less volatile than the market. I will start today with the healthcare sector.

It’s very important when you invest money that you have a view on your risk exposure. It doesn’t make sense in my view to enter big risks without a higher return. Every loss you can avoid is also a return you don’t need to work out.

Linked is a sheet of the 20 best yielding healthcare dividend stocks with a market capitalization of more than USD 10 billion as well as a beta ratio under one. Two of the results are High-Yields and fourteen are recommended to buy. The majored drug manufactures is still the dominating group in the screen, followed by a gaining medical instruments and supplies industry.

20 High-Yield Stocks With Safe Heaven Characteristics

High-Yield MidCap stocks with low beta ratios originally published at "long-term-investments.blogspot.com". Investors always look for opportunities on the market. They try to realize a bigger return by excluding additional risks. Risk-free stocks don’t exist but some stocks have a higher volatility than others. A ratio that measures the volatility is the beta ratio.

Linked is a sheet of the “safest” high-yielding stocks. Those stocks have a beta ratio below 0.5 as well as a higher market capitalization. In my case, I screen for stocks with a market valuation over USD 2 billion.

Only 20 companies fulfilled the mentioned criteria of which six have a double-digit yield. Eight of the results are recommended to buy. REITs and oil & gas pipeline stocks dominating the screen.

20 Safest Dividend Income Growth Stocks From The Early Stage

Dividend Challengers with low beta ratios originally published at "long-term-investments.blogspot.com". Some investors are greedy and tend to overlook risks. Others are too anxious and avoid to buy stocks in a larger amount. They could “lose money” or they “can get quick rich” are two psychological factors that investors prevent to make real money with investing. Both are not true and only an illusion.

If you invest money into the stock market and you do it wisely and diversified, you should only count with a return close to the performance of the broad market. I believe that a return of 8 percent is realistic and good enough to beat inflation and grow wealth.

Today I like to screen a category of stocks with a longer dividend growth history, the Dividend Challengers. Those stocks have achieved to raise dividends over a period of more than five years in a row but less than 10 years. 167 companies have fulfilled these dividend growth criteria. 

Below is a list of the safest stocks from the investment category "Challengers". They have a beta ratio of less than 0.5 as well as a market capitalization over USD 2.0 billion.

20 Dividend Challengers are on the list of the safest dividend income growth stocks and six of them have a high yield; Nine are recommended to buy.

Reader Q&A: Are High-Yields Good For Growing Your Passive Income?

One Reader of my blog, Devirick, wrote me on Facebook a question. Here are his sentences:

“What strategies are u using To be able To live off of dividends? I’m am working on creating extra income as a monthly contribution toward dividends paying high yields around +5%”

Well it’s hard to explain in a few words. In core, I would say that I'm a long-term dividend growth investor. I buy dividend stocks with a solid growth performance and a higher capitalization - The company should be good diversified.

I say core because I put around 60% of my net worth into boring companies like Nestlé, Procter&Gamble or Coca Cola etc. (Those are my core investments). Some might say they are not boring but they are because nothing spectacular happens. The good thing is that you can count on the company as basis growth engine for your portfolio (normally with a growth in a high single-digit range).

Coca-Cola, Procter or even McDonalds have strong cash flows which they use for share buybacks and dividend payments in nearly the same amount. The ratio varies, depending on the payout policy of the company. If they grow 5% in sales, earnings and dividends could grow with a higher rate because of the share repurchases. If you count with 7%-8% dividend growth, your yield on cost doubles in 10 years from alone.

If you start buying stock with 100k, you could get around 3k in dividends. In 10 years, your income should grow to 6k but the inflation pushed prices only 30% to 50% higher.

I have around 80 companies and my average growth rate is a little bit higher than 10%. I believe it’s around 12-13% for the moment. But this should slow down if the economy weakens. The reason for the higher rate is that I bought some lower yielding companies with a stronger growth and low debt and payout ratios. 

In my view, faster growing stocks deliver you a better return if you stay longer by your investment. The risk also rises because you are no more a swing trader, you are an investor. As investor your job is to identify the long-term growth perspectives and potentials of a company without losing the feeling for the risk.

Your question to High-Yield stocks: That’s no solution for wealth in my view. Most high yielding stocks are low growing stocks with high debt levels. Look at AT&T. Sure they look good at the yield is fantastic compared to the business model but they have a big debt burden and they need really big amounts of money to grow (if it’s really possible to grow because the carrier market is still developed and market shares are distributed).

You can boost your income in a short time but you will loose this advantage over the time. If you buy AT&T shares for 100k, your gross dividend income would $4.98k but in 10 years it should only at 6k or so. This is only an example. I have no idea how fast T could grow their dividends.

What if you start with an investment of 100k that pays only 1% or 1k in annual dividends and 10 years later you receive 10k? I would prefer the second alternative. Low payout and debt ratios as well as high growth potential is the key in this example.

I hope my answers helped you to understand my investment strategy a bit more. If not, feel free to submit a comment on my Facebook-Page. I always try my best to help others.

13 Cheap High Yielding Stocks With Low Volatility

High yielding large capitalized stocks with low beta and cheap price ratios originally published at "long-term-investments.blogspot.com". I often look for higher capitalized stocks which give me a margin of safety. I don’t talk about a discount to the fair value or cheap prices. I mean a low volatility stocks. Stocks with a low beta ratio have a lower volatility than the whole market but they also have a lower upside potential if the market goes up. I love low volatility stocks because I am like everybody else an anxious investor when I invest big money on a single bet.

If the low beta stocks also have a low valuation, it could be interesting for me. You can find a full list of higher capitalized high-yield stocks with low beta ratios below. In total, there are 13 companies with a market capitalization over USD 2 billion and a yield above the 5 percent mark that have beta ratios of less than 0.5 and a forward P/E of less than 15.


The results are dominated by residential REITS. I personally don’t like this investment category. Sure you can make money with it but growth is very capital expensive. You sit on your investment and wait for rental price increases or decreasing vacancy rates. That’s not very funny for a long-term growth investor like me. As you see, there is also a huge debt burden on the stocks which exceeds the amount of equity by a few factors. Gas utilities and my favorites from the cigarettes industry are much more interesting.


Five of the results have a very high yield of more than 10 percent and seven have a current buy or better recommendation. What do you think about the screening results? Do you own some of the mentioned stocks? Let me know and discuss the pros and cons in the box below.


The 20 Safest Dividend Growth Stocks – A Summary

Dividend Achievers With Low Beta Ratios Researched By “long-term-investments.blogspot.com”. Dividend growth is an investment strategy that works if you have enough time. At the market are 187 stocks with a consecutive dividend growth of more than five years (Dividend Achievers). I made a list of the 20 dividend growth stocks with the lowest beta ratio, in total a value of less than 0.4. Especially in times of crises like the European debt crisis and the slowing China GDP growth, a safe haven strategy should be a wise decision. The low beta ratio shows that the stock is only low correlated with the market. If he goes 10 percent down, the 0.4 beta stock follows the market only by 4 percent.

Below the 20 results are two High-Yields and five with a buy or better recommendation.

20 Best Yielding Stocks From Europe With Safe Heaven Aspects

Stocks With Best Dividend Yields And Low Beta Ratios From Europe Researched By Dividend Yield - Stock, Capital, Investment. Everybody talks about the euro debt crisis and the expected economic slowdown in Europe. The stock markets within these countries have a really bad performance but this unpopularity gives investors a good opportunity to invest in hidden champions or even to find stocks with attractive valuations.

I screened all stocks with home base in Europe and listing in America by a positive dividend yield as well as a beta ratio of less than 1 (lower volatility than the market). In order to screen only highly liquid stocks, I decided to present only those companies with a market capitalization above USD 10 billion. Twenty stocks remained of which sixteen are recommended to buy.

The Safest And Best Yielding Dividend Contenders

Dividend Contenders With Low Beta And Highest Yields Researched By Dividend Yield - Stock, Capital, Investment. Dividend Contenders are stocks with consecutive dividend increases of more than 10 years but less than 25 years. 157 stocks with such a great dividend growth history are available for investors but not all of them are really safe heaven stocks.

I made a little screen within the investment category and searched stocks with a very low beta ratio (below 0.5) and a dividend yield of more than four percent. Nineteen stocks remained of which nine are high yields.