High Yields From The S&P 500 And Which Are Highly Recommended

High Yields from the S&P 500 and the best buy ratings originally published at "long-term-investments.blogspot.com". It’s good to have stocks with dividends. Dividends give you a passive income and improve your quality of life. Some of you don’t have enough money to live off dividends and they try to close the gap by choosing only High-Yields.

The higher the yield of a stock, the less capital you need for an acceptable return. But High-Yields often have the problem that they are not sustainable, especially when the market capitalization is low and the debt high.

We’ve seen this problem with Pitney Bowes, a very popular Dividend Aristocrat who yielded for months over 10 percent until they decided to reduce the dividend distributions by a half. For sure, they still pay a good dividend but your passive income is now significant lower.

Today I like to show you the highest yielding stocks from the S&P 500 with their current ratings. Only 13 companies survived the strong market gain since the beginning of the year. Last year, the number of High-Yields within the popular index was over 20!

Below the top results are many telecom service companies as well as electric utilities. Five of the results have a current buy or better rating.

Consumer Dividend Stocks With Highest Float Short Ratios

Consumer goods dividend stocks with highest float short ratios originally published at "long-term-investments.blogspot.com". Consumer goods stocks are often the most preferred source for dividend growth investors. I don’t know why but the consumer sector has the largest amount of stocks with a solid dividend history. They are less volatile and work with good margins. For sure, the growth perspectives are not a good as for technology stocks and the debt is also everything else than slim but they are still attractive.

Today I like to close my monthly article serial about dividend stocks with the highest float short ratio. Here are the links from the serial:

· 20 Basic Material Dividend Stocks With Highest Float Short Ratio

· 20 Industrials With Highest Bets On A Falling Stock Price

· 20 Most Hated Dividend Stocks From The Services Sector

· 20 Highly Shorted Financial Dividend Stocks

· 8 Utility Dividend Stocks With The Highest Float Short Ratio

· 20 Technology Dividend Stocks, Most Shorted By Investors

· 13 Highly Shorted Healthcare Dividend Stocks

Today I like to look at the consumer goods stocks and excluded stocks with a market capitalization below 300 million as well as stocks without dividends.

My top 20 stocks have a float short ratio between 8.21 percent and 28.92 percent. The highest short selling stock is Pitney Bowes. The company is followed by the auto parts seller Monro Muffler Brake.

Despite the huge number of pessimistic investors, analysts recommended 13 of the results.

20 Cheapest Consumer Dividend Stocks

Consumer dividend stocks with cheap price ratios originally published at "long-term-investments.blogspot.com". 

I love consumer dividend stocks. Nearly 60 percent of my own stock allocation have a relationship to the sector. For sure they also had a very low performance compared to other stocks but they give me stability and trust to invest bigger amounts of money into the stock markt.

A few years before, I purchased consumer stocks for an average yield of 3.5 percent. Today the sector has a yield of 2.78 percent despite the fact that most of the consumer stocks raised year over year their dividends. Consumer stocks getting more and more expensive and the only core reason for this development is the expansive monetary policy.

Today I like to go forward with my monthly screens of the cheapest dividend stocks measured by the lowest forward P/E. The 20 cheapest stocks with a higher market capitalization are valuated between 7.8 and 12.5. Only one High-Yield is part of the results. Nearly all companies, 17 in total, are currently recommended to buy.

12 Really Cheap Stocks With Extraordinary High Yields - Over 10%

Stocks with very high yields and low price ratios originally published at "long-term-investments.blogspot.com". A good cash return on your in investment is the basis for all dividend investors who want to build up a passive income stream.

If you are focused on low yielding stocks with a yield around the one percent mark, I can tell you that you won’t get a bigger cash return if you have only a few shares. You need higher yielding stocks with a yield of more than five percent or even over 10 percent.

I personally prefer stocks with a yield of 2-3 percent that have a solid growth history and could grow further. In addition, its ever cool when the company has low debt and payout ratios. This gives the company the possibility to hike the next dividends far above the magic 3 percent mark.

However, let’s come back to my daily theme: I like to show the highest yielding stocks with a P/E of less than 15 and a market capitalization over USD 2 billion. Twelve companies fulfilled these criteria of which eight are recommended to buy. Pitney Bowes is the star below the results. Its yield is still over 10 percent but the stock gained nearly 40 percent this year. PBI fights with a changing business environment and investors are more confident about the success of this battle.

Reader Question: Why Do My High-Yield Stocks Produce Losses And How To Turn Them Into Capital Gains?

I’ve received an e-mail from one of my readers. Here is his mail:

“Dear Tom,

Want to let you know that I thoroughly enjoy and appreciate your dividend newsletter for starters I wish to apologize on behalf of correspondents who are blatantly rude and disrespectful to you. If I have a disagreement or question for you I certainly would be polite....common sense.

I am retired and have money to invest and am concentrating on high dividend paying stocks.  But so far I am making good money on dividends but am currently getting more capital losses than capital gains.  I have made costly mistakes but am benefitting from them.

If you could suggest any strategies plus make suggestions I am ready, willing and able to digest same.

Very Respectfully”

Well, a one way strategy to make money without any losses does not exist. I personally made losses but they were not significant in relation to my current unrealized and realized capital gains.

The first question is in my view how much risk can you shoulder to get a higher return. I believe that investing should improve your live quality and should not end in hard work. Stocks and everything surround should bring you fun and cause in a better life. If you are retired, you have not as much time to wait for returns as a younger investor.

If you say that you make losses, I would be curious to know what kind of stocks do you own and how long do you have them? This is a fact that I hear from several investors. They receive high dividends but make losses on their assets. I discovered that it has reasons when companies are low valuated and high yielding. The truth is that all others know the problems of the company and core investors sell their stocks before everything is public.

I don’t like higher yielding stocks like PBI despite the fact that they have realized a great return since the beginning of this year. The market knows everything, much more as we all because he is an expression of all contributors and stakeholders of the company.

My strategy is to buy stocks and hold them, receiving the dividend and see how my yield on cost rises in average, year over year. I don’t follow the company’s happenings in detail. It’s a passive income with passive work but highly scalable.

Back to your problem. I prefer lower yielding stocks with a higher and more consistent growth. It’s even better if the company has low debt as well as a good management team.

As of now, there are still opportunities with a 3%+ yield of which you can expect that the income will grow with a rate of 5-7% per year.

When I buy stocks I always look at the long-term history of a stock. If they doubled sales every 10 years and they have revenues over $10 billion, I am interested to discover more of the stock if earnings grew faster than sales. Also important for me is the stability and volatility of the growth. A highly cyclic company is not the right stock for me. Finally debt and cash flows matter. The company must create strong cash and should be able to give shareholder value back in some way.

If you start buying stocks and you plan to hold them over a decade or more, your first years will be the hardest if you are in an overvalued stock market. I have no idea if the market today is overvalued. It’s primarily a question of the future growth perspectives from the companies. If a recession comes, a blast of the Chinese housing bubble or even a break-down of the Euro, the market is definitely overvalued.

My approach is that the economy will recover and improve over a long period. It’s like an economic balance. The only question is “how long does it take” to get balanced. Since 2008, the market needed five years to get back to the historic levels. It could also possible that you see decades of slow growth or no growth – Look at Japan. If you are at the age of 65 or older you must consider this for your asset allocation.

The best category to place money is in my view dividend growth from companies with international sales and future growth potential. Companies like Nestlé, Procter & Gamble or Nike have a big brand portfolio which produces strong cash flows and their client basis is still rising. Coca-Cola is the dominating player in the soft-drink business but they deliver only 1% of the daily beverage consumption of a person.

A past performance does not mean that the business model works for the future but in my view, companies like Coca Cola or McDonalds have a big cash flow and the best human skills do develop markets better than their smaller rivals. They handle recessions more effective and gain market share in every depression.

I reduce the residual risk by putting not more money into a single stock of more than 1% for a non-core holding. If I am wrong with my company, I could only lose 0.5% over years if the stock is down 50%. That’s not much when I receive yearly 3% in dividends from my portfolio holdings.

High-Yields: An Overview Of The Highest Dividend Paying Stocks From The S&P 500

High yielding stocks from the S&P 500 originally published at "long-term-investments.blogspot.com". The Standard & Poor’s 500 is a major tool used by many meaningful investors. The index has over USD 5.58 trillion benchmarked, with index assets comprising approximately USD 1.31 trillion of this total. The index includes 500 leading companies in leading industries of the U.S. economy, capturing 75 percent coverage of U.S. equities.

Most of my investments come from the S&P 500. It’s still a big source for dividend stocks because 407 stocks (81.4 percent of the index member) pay dividends. I’ve often published lists of the highest yielding stocks, also from the S&P 500 but this list is getting smaller and smaller. 

As of now, only 14 companies have a yield over five percent; Four of them are currently recommended to buy. The strong increase of the broad market makes stocks more expensive and yields come down. I hope that the average yield of equities will not fall to a 1 percent or less rate. Linked is a small list of all High-Yield stocks from the S&P 500.

13 High Quality Dividend Income Stocks

High income growth stocks originally published at "long-term-investments.blogspot.com". Everybody is looking for a growing or high income. If you have reached your limits on the job market you only can boost your earnings on a passive way. One strategy to get a higher income is to increase your passive yield from capital investments, especially from dividend payments. Some call it also “Income Investing”.

A great source for a steadily growing income is dividend growth. The best income growth stocks are Dividend Champions. Those companies raised dividend payments over a period of more than 25 consecutive years and have built a huge trust basis to long-term investors.

Today I like to post some interesting high yielding Champs. Sure, yields go down. That’s a hard cognition I realized over the recent months. Stock prices rose faster than some companies’ hiked dividends. As a result, the yield plunges. As of now, only 13 stocks with a very long dividend growth history have a current yield over 4 percent and only two of them have a current buy or better rating.

Best Dividend Paying Ex-Dividend Shares On February 13, 2013

The best yielding and biggest ex-dividend stocks researched by ”long-term-investments.blogspot.com”. Dividend Investors should have a quiet overview of stocks with upcoming ex dividend dates.

The ex dividend date is the final date on which the new stock buyer couldn’t receive the next dividend. If you like to receive the dividend, you need to buy the stock before the ex dividend date. I made a little screen of the best yielding stocks with a higher capitalization that have their ex date on the next trading day.

A full list of all stocks with payment dates can be found here: Ex-Dividend Stocks February 13, 2013. In total, 80 stocks and preferred shares go ex dividend - of which 33 yield more than 3 percent. The average yield amounts to 4.44%.

Here is the sheet of the best yielding, higher capitalized ex-dividend stocks: 

Company	Ticker	Mcap	P/E	P/B	P/S	Yield
ARMOUR Residential REIT, Inc.	ARR	2.18B	7.75	0.89	11.27	13.62%
Pitney Bowes Inc.	PBI	2.78B	6.41	25.18	0.57	10.83%
The GEO Group, Inc.	GEO	2.33B	26.96	1.91	1.43	6.13%
Royal Dutch Shell plc	RDS-B	216.66B	8.14	1.15	0.45	4.99%
Duke Energy Corporation	DUK	48.68B	21.95	1.19	2.81	4.43%
Vectren Corporation	VVC	2.67B	16.33	1.77	1.20	4.37%
Shaw Communications, Inc.	SJR	10.54B	14.07	2.69	2.10	4.32%
CenterPoint Energy, Inc.	CNP	8.94B	22.49	2.10	1.20	3.97%
AstraZeneca PLC	AZN	59.19B	9.52	2.49	2.12	3.80%
Eli Lilly & Co.	LLY	62.55B	14.73	3.76	2.77	3.64%
E. I. du Pont de Nemours	DD	44.62B	18.37	4.42	1.26	3.60%
Apartment Investment & Management	AIV	4.21B	-	4.58	4.07	3.32%
Chevron Corporation	CVX	226.33B	8.68	1.70	0.94	3.11%
Enbridge Inc.	ENB	35.81B	40.44	3.52	1.52	2.86%
International Paper Co.	IP	18.52B	24.81	2.94	0.67	2.85%
Walgreen Co.	WAG	39.20B	18.60	2.13	0.55	2.65%
Southwest Gas Corporation	SWX	2.07B	16.49	1.63	1.06	2.63%
Boeing Co.	BA	57.21B	14.85	9.78	0.70	2.56%
Aqua America Inc.	WTR	4.00B	26.48	3.05	5.39	2.45%
The J. M. Smucker Company	SJM	9.63B	20.64	1.87	1.65	2.34%

18 High-Yields From The S&P 500 | The Best Dividend Payer Of The Index

High-Yield stocks from the S&P 500 originally published at "long-term-investments.blogspot.com". 

Dividend investors love a high yield and they are willing to give up growth for a higher yield. Not all stocks with a big dividend payment are good. That’s something I often told you. The main question is if you have enough money to resign the dividend. I do and you could it too if you have a long investment horizon.

A popular group of high-yield stocks could be found in the index of the S&P 500. The S&P 500 is a stock market index based on the market capitalizations of 500 leading companies publicly traded in the U.S. stock market, as determined by Standard & Poor's. As of now, around 18 companies from the index have a yield over five percent and five are currently recommended to buy.

As you see a high yield is not only the only solution for a stock buy. There are so many criteria which makes a stock attractive. I talk about growth, margins which is at least an expression of a solid and strong market position.  A Trustful management as well as a stable business environment are also two very important factors to consider.

What do you think about high-yield stocks from the S&P 500? Are they attractive for investors or should you take a look at other stocks with lower yield. Please leave a comment.

High-Yield S&P 500 List | 6 With A Buy Rating

High-Yield stocks from the S&P 500 originally published at "long-term-investments.blogspot.com". Investors like to make money with stocks. They want the best shares with a great possibility of a potential trading gain.

One strategy to follow is dividend investing. Dividend investors like me often sit on an asset and use the dividend payments as cash source for further investments. A stock with a 5 percent yield or more pays back your investment amount in 20 years.

Investing money into shares from the S&P could make it easier to reduce risks because the index has higher capitalized stocks with a normally broader diversified business model.

Today, I like to discover some of the highest yielding stocks from the S&P 500. The whole index has 500 companies compiled of which 21 have a yield over five percent. Six of the high yielding S&P 500 shares are currently recommended to buy.