Submitted by
Dividend Yield
as part of our
contributors program
.
Dogs of the Dow Jones by
Dividend Yield - Stock, Capital, Investment
. Here is an updated sheet of the 10 best Dogs of the Dow. Such
stocks have the lowest expected price to earnings ratio and highest
dividend yield within the Dow Jones Index. The strategy is to buy
10 stocks of the Dow Jones with the highest dividend yield and
lowest price to earnings ratio at the beginning of the year and to
hold these stocks for a year. After this period, the investor
should sell stocks that are no more Dogs of the Dow and buy
therefore new Dogs of the Dow.
The ten cheapest stocks from the Dow Jones have an average
dividend yield of 3.50 percent as well as a forward P/E ratio of
11.99. The average P/B ratio amounts to 2.56 and P/S ratio is 2.06.
The best yielding stock is still AT&T (
T
) with whose yield is back in the high yield area (5+ percent). The
stock is followed by its competitor Verizon (
VZ
). Compared to the results of the previous months, no essential
changes have occurred.
Here are my favorites with the highest expected 5-Year
EPS growth:
Verizon Communications (
VZ
)
has a market capitalization of $126.29 billion. The company employs
188,200 people, generates revenue of $110,875.00 million and has a
net income of $10,198.00 million. The firm's earnings before
interest, taxes, depreciation and amortization (EBITDA) amounts to
$29,376.00 million. The EBITDA margin is 26.49 percent (operating
margin 11.62 percent and net profit margin 9.20 percent).
Financial Analysis: The total debt represents 23.93 percent of
the company's assets and the total debt in relation to the equity
amounts to 153.33 percent. Due to the financial situation, a return
on equity of 6.45 percent was realized. Twelve trailing months
earnings per share reached a value of $1.07. Last fiscal year, the
company paid $1.98 in form of dividends to shareholders. The
earnings are expected to grow by 15.38 percent for the next year
and 8.79 percent for the next five years.
Market Valuation: Here are the price ratios of the company: The
P/E ratio is 41.25, P/S ratio 1.14 and P/B ratio 3.49. Dividend
Yield: 4.66 percent. The beta ratio is 0.52.
The Procter & Gamble (
PG
)
has a market capitalization of $193.21 billion. The company employs
126,000 people, generates revenue of $83,680.00 million and has a
net income of $9,317.00 million. The firm's earnings before
interest, taxes, depreciation and amortization (EBITDA) amounts to
$16,496.00 million. The EBITDA margin is 19.71 percent (operating
margin 15.88 percent and net profit margin 11.13 percent).
Financial Analysis: The total debt represents 22.52 percent of
the company's assets and the total debt in relation to the equity
amounts to 46.94 percent. Due to the financial situation, a return
on equity of 13.86 percent was realized. Twelve trailing months
earnings per share reached a value of $3.11. Last fiscal year, the
company paid $2.14 in form of dividends to shareholders. he
earnings are expected to grow by 8.46 percent for the next year and
8.52 percent for the next five years.
Market Valuation: Here are the price ratios of the company: The
P/E ratio is 22.52, P/S ratio 2.31 and P/B ratio 3.09. Dividend
Yield: 3.21 percent. The beta ratio is 0.43.
General Electric (
GE
)
has a market capitalization of $224.48 billion. The company employs
301,000 people, generates revenue of $147,300.00 million and has a
net income of $14,366.00 million. The firm's earnings before
interest, taxes, depreciation and amortization (EBITDA) amounts to
$31,015.00 million. The EBITDA margin is 21.06 percent (operating
margin 13.64 percent and net profit margin 9.75 percent).
Financial Analysis: The total debt represents 63.22 percent of
the company's assets and the total debt in relation to the equity
amounts to 389.43 percent. Due to the financial situation, a return
on equity of 11.06 percent was realized. Twelve trailing months
earnings per share reached a value of $1.35. Last fiscal year, the
company paid $0.61 in form of dividends to shareholders. he
earnings are expected to grow by 12.26 percent for the next year
and 12.15 percent for the next five years.
Market Valuation: Here are the price ratios of the company: The
P/E ratio is 15.78, P/S ratio 1.52 and P/B ratio 1.93. Dividend
Yield: 3.20 percent. The beta ratio is 1.61.
Take a closer look at the full table of the cheapest stocks of
the Dow Jones. They have an average dividend yield of 3.50 percent
as well as a forward P/E ratio of 11.99. The average P/B ratio
amounts to 2.56 and P/S ratio is 2.06.
Selected Articles
· 12 Cheapest Large Caps With Highest Expected Growth As Of
October 2012
· An Overview Of The Safest High Yield Large Caps At The
Market
· Best Dividend Paying Stock List As Of October 2012
·
The Best Dogs Of The Dow Jones As Of September
2012