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Showing posts with label Debt Ratio. Show all posts
Showing posts with label Debt Ratio. Show all posts

5 Attractively Valued Stocks With At Least One Dividend Hike

Cheap stocks are the basis for a good return. But the definition of cheapness is large. One ratio that measures the cheapness of a stock in relation to its growth is the Price-Earnings-To-Growth ratio (PEG ratio).

A PEG-value over one indicates that the stock could be overpaid. Today I would like to generate some fresh stock ideas by screening the market by attractively valuated dividend stocks that have raised dividends for at least one time.


These are my criteria in detail:


- Market cap is greater than USD 100 million
- Dividend yield is above 3%
- At least one dividend hike
- Total debt to equity is under 1
- 12Trailing P/E is less than 15
- Forward P/E is less than 15
- PEG ratio is less than 1

Only five stocks fulfilled these tighten criteria of which two are High-Yields. All results are currently recommended by brokerage firms.

The top 5 results are....

5 Higher Yielding Financial Stocks With Low Debt Figures

Dividends are a powerful income source if you use it wisely. I personally prefer stocks with solid growth potential but don't like to overpay a stock.

But as investor with a small pocket and a high desire of big yielding stocks, I also need to look at companies with yields far above the 5 percent mark. 

Today I've discovered some stock ideas from the financial sector. I know, it’s not the best place to hunt for opportunities because the assets are often strange in terms of asset volatility. In addition, the financial sector often life from interest arbitrage, a risky and low margin business (in a market with full information). However, you can find a compilation about financial stocks with high yields and "normal" debt ratios beow.

These are my criteria:

Market cap is greater than Over 100 million.
Dividend yield is greater than 8.5%.
The payout ratio is less than 100%.
Total debt to equity is less than 1.00.

Five higher yielding stocks from the financial sector fulfilled these criteria. The most of the results are low capitalized.

6 Top Growth Heros With Potential To Lift Future Dividends

Only a growing dividend is a good dividend. That was one of my major rules when I started my dividend growth investing career. Since then, I quadrupled my net worth, only via dividend stock trading. That's a great feeling to see that it really works, but we must also consider that the markets are irrational valuated.

Today, I would like to share a new screen about dividend stocks that have beaten the market by sales and earnings growth numbers in the past. 


Not enough, they also have low debt, dividend payout ratios. Both are two major criteria to evaluate future dividend growth. These are the criteria in detail:

- Market cap is greater than USD 100 million
- Dividend yield is greater than 2%
- The payout ratio is less than 100%
- Total debt to equity is less than 1.00
- Average annual earnings growth for the past five years is greater than 25%
- Average annual sales growth for the past five years is greater than 10%

Six companies fulfilled the above mentioned criteria of which four have a current buy or better rating.

4 Stocks With Over 6 Percent Dividend Yield And Low Debt / Price-Earnings

On this blog, you can find many ideas about stocks with a longer dividend growth history but each Dividend King or Dividend Champion started its career with its first dividend payment 50 years ago.

It's very hard to predict which of the 400 companies will become the next Dividend King and who of the additional 3,000 shares will create the most shareholder values with the result of extraordinary strong dividend growth.

Today I've created a quick list about stocks that have a low price ratio (on current basis and for the future). In addition, the dividend should be bigger than a normal high-yielding stock and the debt situation should finally be on a normal level (below one). These are the criteria in detail:

Market Cap over USD 1 billion
Dividend yield is above 6 percent
At least one dividend hike in the past year
Trailing P/E is less than 15
Forward P/E is less than 15
Total debt to equity is less than 1.00

Only four stocks fulfilled the above mentioned criteria. Of which three are currently recommended to buy.

3 Stocks Warren Buffett Would Pick In His Earlier Years

I've released earlier this week an article about Warren Buffett's latest portfolio moves. Warren acts very cautious. 

He hold much cash and makes only a few big moves per year. People can say that he is a really lazy guy but also a smart investor when you look at his long-term performance.

If you copy Warren Buffett's investment style and cover his latest trades very tight, you will definitely make no bigger return. 

How was it possible to create a $50 billion net worth over 50 years, only by trading stocks?


Warren invested in his earlier year’s money into companies with operational problems. In addition, they were very small compared to the market potential. He bought the potential leaders in a growing market.

Looking into the past doesn’t help us to find new stock ideas. I've always look at higher capitalized stocks because of the bigger degree of safety. But large capitalized stocks are also stocks with modest or slow growth. 

Today I present you 3 long-term dividend growers (stocks that have raised dividends over 25 years or more), with the following criteria:

- Market capitalization under USD 2 billion
- Dividend Payout Ratio below 50 percent
- Debt-To-Equity less than 0.5
- Forward P/E fewer than 20

You can find a company overview of the three results below. I don't own any of them but believe that they cover some values inside.

These are the results:

4 Great Dividend Growth Stocks With Several Break-Out Signals

Do you know the feeling of when you buy a stock and nothing happens over years? 


It's very disappointing to put money into a great stock for that you have done the right research and nothing happens because the market doesn’t discover the potential of your target company.

Timing is also important for stock investors. On the capital market, you can make 100 percent in only six months if you catch the right purchasing time and you can make the same performance over ten years. Both is possible but its definitely better to take the first option.

I'm personally a long-term growth investor and more focused on fundamentals than on technical indicators but those can help you to receive a better return.


Today I try to find some stocks that have risen over the short and mid-term. I used a 20 day to 200 day average to get some great stock ideas.
These are my fundamental criteria:

Dividend yield over 2%.
Dividend growth rate over the past five years greater than 5%. 
The dividend payout is under 75%. 
The forward P/E is below 15. 
The PEG ratio is under 1.50. 
Total debt to equity under 0.40.

15 Large Cap Dividend Stocks With Low Debt I Like In A Low Interest Environment

Large Cap dividend stocks with very low debt and stock beta ratios originally published at long-term-investments.blogspot.com. You know that I also cover stocks with low beta ratios, also mentioned as stocks with a lower correlation to the market.

I’ve published a long list with over 120 stocks about large capitalized stocks with safe haven characteristics. For sure, safe is nothing on an angry sea but I believe these could be some values in my screen.

Today I like to show you the lowest leveraged stocks from the safe haven large cap list with a minimum dividend payout of 1 percent.

That’s not much and the low interest environment also keeps the capital and interest income of the corporates at a low level but I think it’s much easier to boost growth and increase future dividends for a low debt corporation than it would be for a high leveraged company.

Fifteen stocks fulfilled these criteria of which six have a current buy or better rating.

12 Consumer Goods Stocks With Big Dividend Potential

Consumer stocks with low debt and dividend payout ratios to boost current yields originally published at long-term-investments.blogspot.com. You know that I love stocks form the consumer goods sector because there are so many companies with a high quality and low cyclic business model. Around 3/4 of my investments have a deep relationship to the consumer sector.

Today I would like to finish my monthly screen about low debt stocks with small dividend payouts. I’ve tried to compile the top picks from the major capital sectors with high potential of a growing dividend.

Here you can find the links to the articles:

The consumer sector offers 12 stocks with a low dividend payout of less than 20 percent combined with a debt to equity ratio below 0.2. Nine of them have a current buy or better rating by brokerage firms.

I own none of the mentioned stocks. This could be reasonable to the fact that most of the results have a very small market capitalization. I do love big companies with strong cash flows and high market entry barriers but those have also high debt burdens.

11 Basic Material Stocks With Low Debt And Dividend Payout Ratios

Basic material dividend stocks with low dividend payout ratios and small debt figures originally published at long-term-investments.blogspot.com. The basic material sector is not popular at the capital market for the time being. Over the past year, shares from the sector are the worst performing assets class on the market.

But what others hate does not mean that you cannot make money with basic material stocks. If you are a long-term investor, you should definitely find some good stocks with a cheap valuation. But be careful, raw materials are also more cyclic than consumer or healthcare companies.


Today I would like to continue my monthly screen about dividend stocks with low debt ratios and little dividend payments. I observe stocks from the basic material sector with a dividend payout ratio of less than 20 percent of earnings as well as a debt to equity ratio under 0.2.


Exactly eleven stocks fulfilled these criteria of which eight are currently recommended to buy. Agrichemicals and specialty chemical companies are the dominating player on the list.


13 Industrials With Low Dividend Payouts And Little Debt To Boost Shareholder Values

Industrial dividend stocks with low dividend payout ratios and small debt figures originally published at long-term-investments.blogspot.com. Every corporation with small amounts of debt has a better flexibility to grow faster than other stocks with a similar size in the same industry. Corporate debt is a major source to boost growth without issuing new shares.

I’m a real dividend growth investor and I ever look for stocks that pay in 10 years a dividend that is twice as big as today. That’s the reason why I always look beside the growth possibilities also at the dividend payout and debt figures. A company with little debt, high cash and low dividend payouts has much to offer for current shareholders.


Today I would like to screen the industrial sector by stocks with low debt figures and dividend payouts. I selected only those stocks with a 20 percent dividend payout and a debt to equity ratio of less than 0.2.


Only thirteen stocks fulfilled these two criteria of which ten have a current buy or better ratio. The results are dominated by lower capitalized stocks. Only five have a market cap over a billion dollar.


13 Large Cap Financials With High Potential To Boost Dividends

Financial dividend stocks with low payout ratios and relatively small debt figures originally published at long-term-investments.blogspot.com. I started an article serial about stocks with low dividend payout ratios and small debt figures this month.

I believe that these two ratios have a big impact to judge the ability of a corporate to grow at a faster pace and hike dividends in the future.

Today I would like to discover the financial sector by stocks with a less than 20 percent dividend payout ratio and a debt to equity leverage of less than one. Because of the huge amount of results, I will only look at those stocks with a market capitalization over USD 10 billion.

Exactly thirteen financial stocks fulfilled these criteria of which one is a High-Yield.

18 Services Stocks With Low Debt And Payout Ratios To Boost Future Dividends

Services dividend paying stocks with low payout ratios and relatively small debt figures originally published at long-term-investments.blogspot.com. Today I would like to continue my article serial about low leveraged stocks with small payout ratios. I believe that those stocks can pay higher dividends in the future or they have the ability to grow further without capital increases.

The services sector ha s many corporate stocks with small dividend payouts but the most of the stocks are working with small profit margins or they have a modest capitalization. I decided to look only at stocks with more than $2 billion market capitalization in order to get the best results. My other criteria are still the same: Debt to equity under 0.5 with a dividend payout ratio of less than 20 percent.

Eighteen stocks fulfilled the above mentioned criteria of which ten are currently recommended to buy.

10 Utilities With The Most Solid Debt And Payout Figures To Boost Future Dividends

Utility dividend paying stocks with low payout ratios and relatively small debt figures originally published at long-term-investments.blogspot.com. The utility sector is a little bit different compared to the other sectors on the capital market.

There is a huge need for capital when utilities think about expansion but they also deliver solid sales and returns. It’s like an infrastructure investment within the economy.

Today I like to apply my current article serial criteria about stocks with high potential to boost dividend payments to the utility sector. I needed to weaken the efforts a little bit. These are the new criteria:

Dividend Payout Ratio below 50 percent
Debt-To-Equity Ratio under 1

As you might see, only ten utilities fulfilled these criteria of which six are currently recommended to buy. It’s really so sector to find low leveraged stocks with small payout ratios. You should definitely look at the technology or healthcare sector to find more results.

IdaCorp is the top yielding pick on the list. I recently put them into the Dividend Yield Passive Income Portfolio which generates currently around $2,500 in passive income.

Here are my favorite stocks:
If you would like to receive more dividend stock ideas and the free Dividend Weekly, you should subscribe to my free e-mail list. Alternatively, you can follow me on Facebook or Twitter.

IDACORP (NYSE:IDA) has a market capitalization of $2.42 billion. The company employs 2,067 people, generates revenue of $1.080 billion and has a net income of $168.93 million. IDACORP’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $366.54 million. The EBITDA margin is 33.92 percent (the operating margin is 22.45 percent and the net profit margin 15.63 percent).

Financial Analysis: The total debt represents 30.22 percent of IDACORP’s assets and the total debt in relation to the equity amounts to 91.39 percent. Due to the financial situation, a return on equity of 9.88 percent was realized by IDACORP. Twelve trailing months earnings per share reached a value of $3.75. Last fiscal year, IDACORP paid $1.37 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 12.85, the P/S ratio is 2.24 and the P/B ratio is finally 1.37. The dividend yield amounts to 3.57 percent and the beta ratio has a value of 0.45.

Long-Term Stock Price Chart Of IDACORP (IDA)
Long-Term Dividend Payment History of IDACORP (IDA)
Long-Term Dividend Yield History of IDACORP (IDA)

Transportadora de Gas Del Sur (NYSE:TGS) has a market capitalization of $343.22 million. The company employs 829 people, generates revenue of $443.04 million and has a net income of $41.16 million. Transportadora de Gas Del Sur’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $161.79 million. The EBITDA margin is 36.52 percent (the operating margin is 27.41 percent and the net profit margin 9.29 percent).

Financial Analysis: The total debt represents 33.71 percent of Transportadora de Gas Del Sur’s assets and the total debt in relation to the equity amounts to 91.84 percent. Due to the financial situation, a return on equity of 11.97 percent was realized by Transportadora de Gas Del Sur. Twelve trailing months earnings per share reached a value of $0.29. Last fiscal year, Transportadora de Gas Del Sur paid $0.00 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 7.32, the P/S ratio is 0.59 and the P/B ratio is finally 0.98. The dividend yield amounts to 15.39 percent and the beta ratio has a value of 0.63.

Long-Term Stock Price Chart Of Transportadora de Gas Del Sur (TGS)
Long-Term Dividend Payment History of Transportadora de Gas Del Sur (TGS)
Long-Term Dividend Yield History of Transportadora de Gas Del Sur (TGS)

Chesapeake Utilities Corporation (NYSE:CPK) has a market capitalization of $488.48 million. The company employs 738 people, generates revenue of $392.50 million and has a net income of $28.86 million. Chesapeake Utilities Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $79.14 million. The EBITDA margin is 20.16 percent (the operating margin is 14.43 percent and the net profit margin 7.35 percent).

Financial Analysis: The total debt represents 23.35 percent of Chesapeake Utilities Corporation’s assets and the total debt in relation to the equity amounts to 66.76 percent. Due to the financial situation, a return on equity of 11.61 percent was realized by Chesapeake Utilities Corporation. Twelve trailing months earnings per share reached a value of $3.34. Last fiscal year, Chesapeake Utilities Corporation paid $1.44 in the form of dividends to shareholders.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 15.17, the P/S ratio is 1.24 and the P/B ratio is finally 1.90. The dividend yield amounts to 3.03 percent and the beta ratio has a value of 0.47.

Long-Term Stock Price Chart Of Chesapeake Utilities Corporation (CPK)
Long-Term Dividend Payment History of Chesapeake Utilities Corporation (CPK)
Long-Term Dividend Yield History of Chesapeake Utilities Corporation (CPK)

Take a closer look at the full list of utilities with potential to boost dividends. The average P/E ratio amounts to 16.98 and forward P/E ratio is 16.41. The dividend yield has a value of 2.41 percent. Price to book ratio is 1.95 and price to sales ratio 2.38. The operating margin amounts to 22.63 percent and the beta ratio is 1.95. Stocks from the list have an average debt to equity ratio of 0.70.

Here is the full table with some fundamentals (TTM):

Utilities With Potential To Hike Dividends (Click to enlarge)

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Related Stock Ticker Symbols:
IDA, TGS, CPK, AWR, SWX, SBS, ENI, CWCO, CIG, EQT

Selected Articles:

*I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I receive no compensation to write about any specific stock, sector or theme.

12 Healthcare Dividend Stocks With High Potential To Boost Growth And Hike Dividends

Healthcare dividend stocks with low payout ratios and small debt figures originally published at long-term-investments.blogspot.com. I love the combination of low debt with little payout ratios. 

The debt situation is one of the most important issues in corporate finance. It also expresses the ability to grow sales and earnings by enlarging the balance sheet with bank loans.

Only a low leveraged corporate has potential to boost sales without taking new investors into the boat that dilute the current earnings per share.

Today I would like to start an article serial about low leveraged stocks from several sectors with currently small dividend payouts. I believe it’s good to see what companies have the biggest potential to give shareholders huge amounts of money back in the near future and believe me, the tech sector is not the only place to be.


My criteria are a low dividend payout ratio of less than 20 percent as well as a debt-to-equity ratio under 0.5. Only twelve stocks fulfilled these very tight defined criteria.


One result is a High-Yield and nine stocks are recommended to buy or better. Most of the results come from the medical appliances & supplies or equipment industry.


15 Dividend Contenders With Over 20% Return on Equity and Return on Investment

Dividend growth stocks with very high returns on equity and returns on investment originally published at long-term-investments.blogspot.com. A solid investment delivers also solid returns over the time. Dividend growth is not the only criteria for a good investment. There are also many dividend growth stocks outside with low or negative return on investments and return on equity ratios.

Today I screened the Dividend Contenders Database by stocks with high return ratios. I fixed the 20 percent level in order to get the best results.


Only 15 companies fulfilled both, a return on equity as well as a return on investment over 20 percent. The difference between those two ratios is that the return on investment does not include the leverage effect. A corporate with high debts will automatically generate high returns on equity. The second ratio is a performance measure that looks only at the investment by dividing the investment return by the costs of the investment.


One High-Yield is below the results and 10 stocks got a buy or better rating by brokerage firms. Leverage is the key for high returns in my screen. As you might see in the attached sheet, the debt ratios are modestly high but in the end, the investor will pay a higher price for a leveraged company.


16 Cheap Dividend Stocks With Low Debt To Boost Share Repurchases

Dividend paying stocks with low debt ratios and big share repurchases originally published at long-term-investments.blogspot.com. I love dividend growth stocks and dividend paying companies in general but it’s also important to see that the corporate buys its own shares back.

The process of share repurchases is a special way to give shareholder’s money back in a very tax-optimized way. 

A low yielding stock with a 2 percent yield can lift the total yield via stock repurchases to 4 percent or so. For sure, share buybacks are no cash yields on your trading account; it’s an indirect way to reduce the current shares and lift the potential share price.

There is an index outside that covers some of the best stocks with share repurchases that bought at least 5 percent of its outstanding shares within the past 12 months.

Today I would like to screen the Buyback Achievers index by the best yielding stocks with a low forward P/E as well as a very low debt-to-equity ratio. Low debt is a good indicator for potential growth or additional share buybacks.

These are my criteria in detail:
- Positive Dividend Yield
- Forward P/E under 15
- Long-Term Debt-To-Equity below 0.2
- Member of the Buyback Achievers Index

In total, sixteen Buyback Achievers Index stocks fulfilled the above mentioned restrictions of which ten have a current buy or better rating.

11 Great Dividend Growth Stocks With Low Debt

Great dividend paying stocks with low debt ratios originally published at long-term-investments.blogspot.com. Dividend growth is wonderful but it does not mean a good return in the end. Out there are also stocks that hiked dividends over 10 years or more but they delivered only a 3 percent annual return of which 2 percent are explainable to cash dividend payments.

A good dividend growth stocks is a pick that delivers adequate returns far above the expected inflation rate. Nobody knows which stock can give you this but one critical factor is the amount of debt. A low leveraged stock has more possibilities to grow in an easy way.


Today I would like to share some great dividend stocks with low debt ratios. Great dividend stocks are those stocks that have delivered good growth and high returns combined in the past.


I used a restriction of a debt to equity ratio of 0.5 percent. Eleven stocks fulfilled my criteria of which six are recommended to buy.


13 Unleveraged Dividend Challengers With Yields Over 2% | Dividend Income Growth

Dividend Challengers with very low debt to equity ratios and great initial dividend yields originally published at long-term-investments.blogspot.com

If you read my blog for a longer time you should have noticed that dividend growth is one of the most important wealth drivers for long-term dividend investors.

I also talked about the difference between high dividend yields at a low growth and low yielding stocks with a high dividend growth.

The answer of this question is a between solution: Look at good initial yields with growing dividends over the longer period. I talk about mentionable yields and growth rates above the inflation level.

Today I would like to combine both, good growth with an acceptable initial dividend yield. In addition I love it to find stocks with low or no long-term debt. This increases the chance for further big dividend hikes or an accelerated growth.

Only a low leveraged company has more flexibility to grow sales and income much easier. Let’s take a look into the third dividend growth stock category - Dividend Challengers.

Thirteen stocks from the Dividend Challengers list (stocks with dividend growth between 5 to 10 consecutive years) fulfilled my above mentioned criteria. One stock has a high yield close to the double-digit yield ratio and five got a buy or better rating by brokerage firms. Most of the companies from the screening results are low capitalized; eight of them have a market capitalization under USD 2 billion.

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.

17 High Yields With Additional Potential To Grow Dividends

High yielding stocks with low payout and debt ratios originally published at "long-term-investments.blogspot.com". Yesterday, I made a screen of Dividend Contenders with low long-term debt to equity ratios as well as slim payouts.

Today I like to widen the latest screen to High-Yields with a market capitalization over USD 300 million. Most of the high yielding stocks are full of debt. The only companies with a smaller amount of loans are such with a lower capitalization. The risks are much higher for those shares. I also needed to lower my screening guidance because of the small amount of results. These are my new criteria:

- Market Capitalization over USD 300 million
- Dividend Yield over 5 percent
- Long-term debt to equity above 0.6
- Payout ratio under 50 percent

Now, twelve stocks fulfill these criteria. Six of the results have a current buy or better rating.