3 S&P 500 Stocks With Yields Above The Market And Rising Earnings Estimates

Today we screened for companies in the Standard & Poor’s 500 index with yields over 3%, versus 2.3% for the overall index, and with 2016 earnings estimates that have increased by at least 1% over the past three months.

There are more than 150 companies in the index yielding 3% or more, but fewer than 15% of them have been the subject of such an estimate increase.

Close to 60%, meanwhile, have had their 2016 earnings consensus cut by at least 1% over the past three months. Rising earnings estimates could help signal the ability of the high-yielders below to perform well in the year ahead.

Here are the results from the screener...

Which Stocks To Buy In Market Corrections - 40 Best Dividend Growth Ideas Now!

When the market falls, it tends to drag everything down -- good or bad companies. I think that companies that have increased their dividends by 10% or higher in the last 10-years should be considered good companies. 

One way to combat the market downturn is to buy high growth dividend-growth companies that are fairly valued or undervalued. 

These companies are expected to grow earnings per share at a rate higher than 5% in the foreseeable future and have a history of increasing dividends with payout ratios of less than 60%. 

In addition, I like to invest into low leveraged companies. If rates rise or money is needed for investments, the company doesn’t need to raise capital. It's also a hedge for rising dividends.

I also look for stocks with a midcap market valuation or higher. I love the diversification and developed status of those companies.

63 stocks fulfilled my criteria. I like to show you only the 20 best yielding. Half of them have a beta higher than the market. They seem to be more risky.

For safe heaven investors, I also attached a list of the 20 best yielding stocks with a beta below one. Hope you have some fun by discovering the lists. If you like my work, please subscribe to my free newsletter by leaving your email in the right box above. Thank you for reading. 

These are the results...

Who Makes Money At 28 USD A Barrel Oil?

If you might be concern about the current financial turmoil, there are many questions for the reason for the recent uncertainty.

I believe that one reason in the price corrections is the slowing growth which triggered also the oil price into new lows.

Saudi Arabia and other oil producing countries are pumping oil at record levels. Now at 28 USD per Barrel all market members make losses. That's a fact; just take a look at this chart:

Source: Zerohedge 1/2015 and Aliance Bernstein, 10/2014

No one can sell under production cost at a long time. This will cause also mainly pain, especially in the oil and gas sector and emerging markets. A big wave of market consolidation will come in the future if oil stays at these levels or fall. Only the fittest stocks with the highest financial reserves will survive.

The good thing is that the American economy is doing well. They have no expose to the energy market. Refiners could also benefit a little from the decreasing oil prices.

The biggest risk is the loan portfolio of major banks. According to Bloomberg, JPM has the highest exposure to the energy sector with a 5% Portfolio share. That's a high value compared to the equity. 

The final question is in my view how many of them will be writing down and could they cause a financial crises?

I hope the leaders will have learned from the financial crisis in 2008 and not let one bank go bankruptcy. How do you evaluate the market? Do we see an end of the dark tunnel?

9 Multi Generation Stocks: Dividend Stocks With A 200 Year Payment History

Long-term investors looking for stocks with positive earnings growth for the future and sales boost as well. I personally look at the past performance or history of a company. 

If I see doubled sales over the past decade, it could be a good sign for a rosy business environment.

A solid business environment is the basis for dividend growth and share buybacks. Only a smart company with rising operating structures can increase the shareholder value over the long run.

If you followed my blog for years, you might have read often articles about stocks with the longest dividend growth history, 50 year or more. Those are real Dividend Kings, the top of the top stocks.

I've enlarged the screen by showing you stocks with 100 years of dividend payments. They reduced dividends but paid always money to its owners.

Today I will give you a snapshot of stocks that paid dividends over 200 years or more. Yes, you read right, 200 years. That’s a generation project.

Here are the results....

19 Cheap Stocks With A Free Cashflow Yield Over 6.67%

Everyone needs cheap stocks for a solid return. But what cheap really means depends on your growth expectations.

I tell you that earnings are not equal to free cash flow. Some companies need much money to grow or they put large amounts of cash into the business to keep them alive due to high amortizations.

If you look for cheap stocks, you also need to cheap price to free cash flow ratios.

Today I would like to introduce a few dozen or and a few more stocks with a cheap price to free cash flow ratio (less than 15). A ratio under 15 indicates that the potential payout yield is over 6.67%.

In addition, I've only listed those stocks with a positive earnings growth outlook for the next five years. That's in my view a method to filter only well-running business.

Despite the tight criteria, the screen also produced some struggling companies like BHP or Rio Tinto. I like them for sure but I do believe that they are not worth investing while the commodity price still low or at multi-year lows.

Here are the results from my screen...