Dividend-paying stocks with limited exposure to Europe have a
certain appeal these days, andCarlisle Cos. (
) fits this description.
The diversified manufacturer drew 81% of its 2011 revenue from
the U.S. Just 8% came from Europe.
Charlotte, N.C.-based Carlisle offers a quarterly payout of 18
cents a share, for an annualized yield of about 1.5%. The company
has a history of raising its dividend. It's been raised 35 years
in a row, most recently in August.
The company's products include roofing materials, specialty
wheels and tires, food-service equipment and interconnect
technologies for aerospace clients. While that's quite a variety
of items, S&P analysts say Carlisle has carefully selected
these niche markets.
"Carlisle's track record of growth has been achieved through a
disciplined approach that targets businesses with relatively high
margins, solid growth prospects, and a limited number of
competitors," the analysts wrote in a recent research note.
"This method has allowed Carlisle to achieve a leading
position in most of its markets while generating above-average
returns and relatively steady growth."
The company has achieved double-digit percentage gains in
earnings per share and revenue for six straight quarters. Over
the past two quarters, EPS growth has accelerated, from 20% to
31%, then to 77%.
The analysts at S&P also noted that Carlisle aims to avoid
excessive central planning.
"The presidents of the various operating companies are given
considerable autonomy and have a significant level of independent
responsibility for their businesses and performance," they said
in their note.
"Carlisle believes that this structure encourages
entrepreneurial action, and enhances responsive decision-making
thereby enabling each operation to better serve its customers and
react quickly to its customer needs."
Areas of concern for Carlisle include an IBD
Accumulation-Distribution Rating of D. That signals more selling
than buying over the past 13 weeks by institutional investors. In
addition, its IBD industry group, Diversified Operations, has a