Best Services Stock Picks For 2013 | A Selection Of Growth Stocks

Dividend income investors seeking for a high income stream from dividends. In addition, capital gains from stocks trades are a welcome bonus for a long-term investor like me. Over a long period, such capital gains are much higher than the amount of dividends. I personally have a ratio of 1:2. This means for every dollar in dividends I could generate additional two dollars of stock gains. Most of my capital gains are unrealized because I hold them for a very long time.

However, I started a new screen from the services sector. I wanted to know what stocks picks could be the best for next year. Last year’s picks gained 31.16 percent while the sector was up 23.16 percent compared to the previous year.

These are my criteria:

- Forward P/E under 15

- Past 5Y Sales growth over 10 percent

- Earnings per share growth for the next five years over 10 percent

- Operating Margin over 10 percent

- Market capitalization above USD 2 billion

Fourteen stocks fulfilled these criteria of which eight pay dividends and twelve are currently recommended to buy. The results are dominated by business services stocks and discount, variety store concepts. 

Warren Buffett | Berkshire Hathaway Q3/2012 Fund Portfolio

Warren Buffett - Berkshire Hathaway Q3/2012 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Warren Buffett’s - Berkshire Hathaway - portfolio movements as of Q3/2012 (September 30, 2012). In total, he has 38 stocks with a total portfolio worth of USD 75,326,633,000. Buffett bought four new companies and added eight additional stocks. The most important buys were Wells Fargo and Deere. WFC was increased by 2.8 percent. Both buys affected his portfolio only by around 0.5 percent. His stake in General Motors was doubled as well as the stake in National Oilwell Varco.

In return, Buffet sold three stocks completely and reduced ten additional stocks. The biggest change to his portfolio had Mondelez and Johnson & Johnson. Both affected his portfolio by more than one percent.

Warren Buffett - Berkshire Hathaway Q2/2012 Fund Portfolio

Warren Buffett - Berkshire Hathaway Q2/2012 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Warren Buffett’s - Berkshire Hathaway - portfolio movements as of Q2/2012 (June 30, 2012). In total, he has 37 stocks with a total portfolio worth of USD 74,321,382,000. Buffett bought two new companies and added eight additional stocks. The biggest influence had Philips 66 (PSX) with a change to his portfolio of 1.21 percent.

Warren Buffett - Berkshire Hathaway Q1/2012 Fund Portfolio

Warren Buffett - Berkshire Hathaway Q1/2012 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Warren Buffett’s - Berkshire Hathaway - portfolio movements as of Q1/2012 (March 31, 2012). In total, he has 35 stocks with a total portfolio worth of USD 75,300,250,000. Buffett bought two new companies and added seven additional stocks. The biggest influence had Wal-Mart (WMT) and Wells Fargo (WFC). Both had an impact of more than 0.5 percent of his portfolio. He decreased seven stocks and closed one.

Mason Hawkins - Longleaf Partners Q4/2011 Fund Portfolio

Mason Hawkins - Longleaf Partners Q4/2011 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Mason Hawkins’s - Longleaf Partners portfolio movements as of Q4/2011 (December 31, 2011). In total, he has 21 stocks with a total portfolio worth of USD 7,083,963,000.

Mohnish Pabrai - Pabrai Investments Q4/2011 Fund Portfolio

Mohnish Pabrai - Pabrai Investments Q4/2011 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Mohnish Pabrai - Pabrai Investments - portfolio movements as of Q4/2011 (December 31, 2011). In total, he held 13 stocks with a total portfolio worth of USD 235,524,000. He bought six companies of which Berkshire Hathaway (BRK.B) and Terex (TEX)  had the biggest influence to his asset allocation.

Warren Buffett - Berkshire Hathaway Q4/2011 Fund Portfolio

Warren Buffett - Berkshire Hathaway Q4/2011 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Warren Buffett’s - Berkshire Hathaway - portfolio and his latest movements as of Q4/2011 (December 31, 2011). In total, he has 34 stocks with a total portfolio worth of USD 66,151,587,000. Buffett bought two new companies and added eight additional stocks. The biggest influence had DIRECTV (DTV) and IBM (IBM). Both impacted his portfolio over one percent. He decreased three stocks and closed one of them complete.

Bill Nygren, Henry Berghoef - Oakmark Select Q4/2011 Fund Portfolio

Bill Nygren, Henry Berghoef - Oakmark Select Q4/2011 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Bill Nygren and Henry Berghoef’s - Oakmark Select - portfolio movements as of Q4/2011 (December 31, 2011). In total, they have 20 stocks with a total portfolio worth of USD 2,373,087,000.

Bill Nygren, Henry Berghoef - Oakmark Select Q3-2011 Fund Portfolio

Bill Nygren, Henry Berghoef - Oakmark Select Q3-2011 Fund Investing Strategies By Dividend Yield – Stock Capital, Investment. Here is a current portfolio update of Bill Nygren and Henry Berghoef’s - Oakmark Select - portfolio movements as of Q3/2011 (September 30, 2011). In total, they have 20 stocks with a total portfolio worth of USD 2,155,851,000.

Bill Nygren and Henry Berghoef’s fund positions as of Q3/2011 with actual share movements:

Sym - Stock	Portfolio Weight	Recent activity	Reported Price*
DISCK - Discovery Communications Inc. CL C	9.47	Reduce 3.33%	$35.15
LINTA - Liberty Media Interactive	6.51	Reduce 5.00%	$14.77
TEL - TE Connectivity	6.09	0	$28.14
CMCSA - Comcast Corp.	5.71	0	$20.69
MA - Mastercard Inc.	5.15	Reduce 12.50%	$317.16
CPN - Calpine Corp.	5.13	0	$14.08
INTC - Intel Corp.	4.99	0	$21.33
EBAY - eBay Inc.	4.72	0	$29.49
TXN - Texas Instruments	4.7	0	$26.65
COF - Capital One Financial	4.69	Add 18.60%	$39.63
DELL - Dell Inc.	4.67	0	$14.15
CVE - Cenovus Energy Inc.	4.59	0	$30.71
BMY - Bristol-Myers Squibb	4.48	Reduce 23.19%	$31.38
DTV - DIRECTV Group Inc.	4.41	0	$42.25
MDT - Medtronic Inc.	4.32	0	$33.24
TWX - Time Warner Inc.	4.25	Add 3.38%	$29.97
JPM - JPMorgan Chase & Co.	4.18	Add 20.05%	$30.12
HRB - Block H&R	4.18	Add 7.97%	$13.31
FDX - FedEx Corp.	3.92	Buy	$67.68
NFX - Newfield Exploration	3.83	Add 31.65%	$39.69

Related Stock Ticker of Bill Nygren and Henry Berghoef’s Portfolio:

DISCK, LINTA, TEL, CMCSA, MA, CPN, INTC, EBAY, TXN, COF, DELL, CVE, BMY, DTV, MDT, TWX, JPM, HRB, FDX, NFX