Results 401–450 of 454 found.
Cummins Inc: Gear Up Your Dividend Portfolio For Strong Growth With A Dividend Kicker
The recent pull-back in Cummins' stock price has created an excellent opportunity for prudent investors seeking growth and income an opportunity to achieve above-average long-term results. The company has little debt on their balance sheet, the potential for strong growth and a recent history of increasing their dividend consistent with their earnings growth. A quick glance at their historical earnings and price correlated graph show that anytime the company could be purchased at a PE ratio below 14, like it is today, represents an excellent long-term buying opportunity.
McDonald's Back In Value, Above Average Growth And Yield
McDonald's represents an excellent choice for the prudent dividend growth investor seeking both capital appreciation, and above-average current yield and the opportunity to grow both in the future. With its recent pull-back, McDonald's is priced at the upper end of our valuation corridor. Therefore, although the company is not cheap, we do consider it a sound long-term investment at these levels. Furthermore, we would suggest that if the stock continued to drop from these levels, the prudent investor could use the lower price as an opportunity to average down their cost basis.
Five Consumer Staples For A Hearty Portfolio With Yield
The old adage that people got to eat apply to the five consumer staple companies covered in this report. From the farm to the table these companies provide sustenance to a hungry world. Therefore, we believe that conservative investors that are craving the opportunity for growth and income might want to look closer at these five consumer staples. Each appears to be reasonably priced, and the group provides various combinations of growth and yield.
Speed Up Your Portfolio Performance With Comcast
Comcast has been a very consistent growth stock since 2004. However, as we previously stated, overvaluation kept shareholders from earning the returns that Comcasts excellent operating achievements deserved. However, valuation became aligned with earnings in late 2008, and the company instituted a dividend in calendar year 2008. Today the combination of above-average past and expected future growth with an above market and potentially growing yield, position the company for attractive future returns.
Use Snail Mail to Place Your FedEx Order
After suffering from shrinking earnings during the great recession, FedEx (FDX) appears on track to once again deliver the goods profitably. However, the market seems to have already recognized the current opportunity and pushed valuation to the outer limits of fair value. Therefore, FedEx may be an investment that requires patience. Aggressive investors could take a position here, but more conservative investors may want to wait for a more attractive entry point.
Baidu Inc: High Priced or Valued to Buy?
Baidu Inc is most commonly referred to as the Chinese version of Google. On the one hand, the stock is cheap relative to expected growth. While on the other hand, its current valuation is more than twice the average company. Therefore, we believe that although the company appears attractively valued based on earnings growth, it should be recognized that it is only appropriate for the aggressive investor seeking maximum capital appreciation. Furthermore, there are additional risks that the discerning investor should consider before investing in Baidu Inc.
Southern Co: A Solid Dividend Choice Worth Waiting For
We believe that Southern Company represents an extremely high-quality option for the investors seeking a high level of current income with an opportunity to grow moderately. However, we believe the current valuation is a little extended. Although Southern Co's current stock price is currently within our corridor of value, it is at the high end. Therefore, we would be more comfortable in recommending Southern Company if the PE ratio were a couple of points lower. On the other hand, Southern Company is an extremely high-quality and stable utility that may be worth waiting for.
Five Healthy Dividend Growth Stocks to Cure What Ails Your Portfolio
These 5 above-average growing opportunities in the healthcare sector provide dividend growth investors potential alternatives to the traditional large-cap pharmaceuticals. This is a high quality group of healthcare companies that possess above-average growth potential plus an above-average dividend yield that is expected to grow at above-average future rates. Consequently, we believe these candidates offer the total package. Each of these nontraditional healthcare opportunities are attractively valued, provide an attractive dividend, and the opportunity for above-average total return.
Newsflash: The Dividend Aristocrats Found The Lost Decade
Volatility can only hurt you if you react to it. And you should not react to it unless there is a real fundamental deterioration with the fundamentals of the businesses you own. If fundamentals are strong and price falls, then buy more if you can, or hold if you cant buy more. The very best companies can remain profitable even during our most severe economic challenges. Consequently, when you can find these companies on sale, regardless of what caused it, I believe you should consider optimistically investing in them. It sure beats taking losses that you dont need to absorb.
Yes, They Do: Low Interest Rates Do Make Stocks Cheap
Im inspired to write this article because I am so frustrated by the plethora of all the so-called expert market prognosticators that continuously bombard the public with negative forecasts. I consider this to be both erroneous and irrational. When the markets are doing well, we are immediately inundated with articles talking about how the market has surely topped and a big drop is imminent. The real truth of the matter is that nobody really knows. Not the Fed, nor any of the so-called experts. Pessimism is pervasive, but optimism is, in fact, more accurate and rational in my opinion.
Maybe Diversification Is Not All It's Cracked Up To Be
As I began digging into the many faces of diversification, I quickly learned that it is a much more complex concept than at first meets the eye. I feel I learned that there is no one-size-fits-all or even a set of universally applicable rules or principles. To a great extent, diversification turns out to be a very personal issue. How much or how little depends more on your goals and objectives, the knowledge and experience you possess, the time you can allocate to your investment portfolio, and of course, your tolerance for risk. Some of us need a great deal of diversification.
Volatility Is Not Risk
Rogers blog dealt with his feelings about a recurring theme in Barrons over the weekend referencing peoples complacency for risk. The first part of his writing dealt with the risks associated with the utilization of puts. On this subject, Roger and I are in agreement. However, the second part of his blog talked about what he felt was the great risk of using dividend paying equities as an alternative investment choice. The following analysis utilizing the F.A.S.T. Graphs earnings and price correlated research tool illuminates the important parts that I feel Roger left out.
Cullen/Frost Bankers Inc.: A Financial Institution Investors Can Bank On
We believe Cullen/Frost Bankers Inc. represents an excellent opportunity for investors seeking a well-managed financial with an above-average dividend yield and excellent track record based on conservative and prudent business practices. The fact that this financial has strung together 18 years of dividend increases through the financial services industrys most difficult times is a testament to the quality and management of this banking institution. Therefore, investors seeking an attractive and growing dividend yield might want to consider a position in Cullen/Frost Bankers Inc.
Carlisle Companies Inc.: Accelerated Earnings Potential and a Growing Dividend
Carlisle Companies Inc. appears to be poised for accelerated earnings and dividend growth. Even though this company offers a below-market current yield, it is a Dividend Champion with 25 years of raising their dividend. On the other hand, the accelerated expected earnings growth should lead to a rapidly increasing future growth yield that could reward shareholders that are more concerned with future income than current. Investors seeking above-average capital appreciation, coupled with a dividend that could grow at above market rates might want to look deeper into Carlisle Companies Inc.
If You Think All Utility Stocks Are The Same - Think Again
Utility stocks, especially regulated utility stocks share certain characteristics that differentiate them from the typical dividend growth stock. On the plus side, utilities are thought of as predictable stocks with low volatility characteristics. Utility stocks also tend to provide a higher current yield than many dividend growth stocks. On the other hand, all of this consistency comes at a sacrifice of growth. Since the typical utility has a significant portion of their businesses regulated, their ability to grow earnings and dividends is restricted.
CACI - Growth at a Ridiculously Low Price
We believe that CACI it is extremely high-quality Defense Company with a niche that is currently being unfairly discounted by Mr. Market. The company possesses a predictable and consistent opportunity for continued double-digit earnings growth that is significantly in excess of the average company. Nevertheless, it can currently be purchased at a significant discount to the average company. This company pays no dividends; it is purely an opportunity for growth that can currently be purchased at a significant discount to its True Worth.
Five Undervalued Dividend Paying Retailers
We believe the retail sector is currently a mixed bag where some of the best names are currently too pricey to buy. Retailers such as Costco (COST), Ross Stores (ROST) and T.J. Maxx (TJX) have seen their share prices skyrocket over the last year or so. On the other hand, not all leading retailers have followed suit even when their operating results have been comparable. We have identified five well-known and even leading retailers that offer attractive valuation, good dividend yields and the opportunity for double-digit total returns over the next five years.
Apple Does Not Need its Cash to Grow as Much as its Shareholders Need it to Spend
The debate surrounding active versus passive investment management continues to attract a growing share of investor interest. After several years of underperformance, active managers are finally outperforming their benchmarks YTD, but it may be too late. Investors, frustrated with the underperformance and higher fees, are piling en masse into exchange-traded funds (ETFs) and other low cost solutions. The time for an all-passive solution may not be right now, but active managers are undoubtedly concerned about what the future may hold.
The Truth About Earnings and How They Drive Stock Values and Shareholder Returns
I wanted to clearly establish the importance of a comprehensive fundamental analysis before an investment decision is made. However, determining fair value from the perspective of the right market price to pay to buy a stock is a function of applying the appropriate PE ratio to reported earnings, and the recognition that, long-term rates of return are going to be a function of the companys earnings. Finally, my objective was to provide, conclusive and undeniable evidence that this theory actually works under real-world conditions. Fair market value is clearly a function of earnings.
Investors In Common Stocks Must Get Valuation Right; Heres How
Investors should be careful and willing to always run the numbers out to their logical conclusions. But, it all starts with knowing what you are buying (investing in) in the first place. True investors, like Peter Lynch, and many of the other renowned investing greats such as Phil Fischer, Warren Buffett, etc., all invest as owners in businesses with a focus on the strength of the business behind the stocks they buy. Therefore, these investor greats are always buying the earnings power of the respective businesses they are investing in, relative to their goals and objectives.
Oracle Is Too Cheap To Ignore Any Longer
We believe that Oracle Corp. is just one of many technology titans that we believe the market is mispricing. Furthermore, we believe part of that stems from the general pessimism that has created the so-called flight to safety get out of equities. Pessimism thrives on uncertainty; and one of the main attributes of technology is uncertainty. We believe that investors seeking maximum capital appreciation at reasonable levels of risk might do well to take a hard look at not only Oracle, but the technology sector in general.
Nike (NKE): Just Do It - Sell
A close examination of the earnings and price correlated graphs, coupled with the historic valuations that the market has applied to Nike shares, it becomes clear and obvious that Nike shares are overpriced today. Even with its high expected future earnings growth, the headwind of such overvaluation seems likely to make it extremely difficult to achieve any acceptable long-term rate of return. On the other hand, its also obvious that the market has decided to price Nike at todays rich valuation, and therefore, its at least possible that it can continue to do so.
Fastenal (FAST): A Vivid Case of Overvaluation
We believe that the Fastenal Company is an extremely high-quality stock with a very bright future. Nevertheless, we feel that the current valuation the market is placing on their shares is not only higher than their fundamentals justify, but also seem excessive in light of the valuations that the market is generally applying to other businesses. Consequently, we believe that shareholders would be prudent to either sell their shares or at least take some of their profits off the table. The stock has had a great run over the last three years but valuation now appears to be excessive.
Has McDonalds Become Too Pricey To Buy or Hold?
There are two primary reasons for writing this particular article at this particular time. First of all, weve seen a running debate regarding whether McDonalds (MCD) is fairly valued or overvalued at todays valuation levels. Second, weve been challenged to write articles that were depicting full value or overvaluation because we have typically only written articles on undervalued selections. We believe that because McDonalds had such a strong run in calendar year 2011, that many people believe that it now must be overvalued after rising so much.
Becton Dickinson- A Healthy Dividend Growth Stock On Sale
Becton Dickinson & Co. is a blue-chip dividend growth stock that is on sale. Becton Dickinson is also a Dividend Aristocrat and Dividend Champion, that Value Line Investment Survey has awarded high scores for financial strength, price stability, earnings predictability and price growth persistence and a low beta of .65. The company has shown great persistence and strength through the last two recessions, and we believe that estimates for future growth are well reasoned and well defined.
Net1 UEPS Technologies (UEPS) Rises Over 30 Percent Rewarding Undervaluation
Primary reason this is happening is because the market was grossly undervaluing this company shares. Consequently, a piece of good news stimulated an incredible 30% advance in one single trading day. Common sense would tell us that the intrinsic value of a business, even a small business like Net1 UEPS Technologies, could not logically change by a magnitude of over 30% that quickly. Unless of course, it was through a merger, that increased the size and the value of the business by that much. The win of a contract would be unlikely to have such an impact.
The Top 25 Best Dividend Challengers To Buy Today
This is the third and final article of a series of articles we have prepared on dividend paying stocks with a history and legacy of increasing their dividends each year. Our first article covered Dividend Champions, dividend paying stocks with a history of increasing every year for 25 years. Our second article covered Contenders, companies that have increased their dividend every year for 10-24 years. This final article in the series will cover Challengers, companies that increased their dividend every year for a minimum of five, to up to nine consecutive years.
42 Dividend Contenders for Above-Average Total Return
With interest rates hovering near all-time lows, investors needing income are faced with very limited choices. The traditional high yield available from bonds and other fixed income vehicles are no longer available to meet the needs of retirees needing income to live off. Moreover, it is almost a certainty that todays low yields are not adequate enough to fight inflation. Consequently, there is a growing investor interest in dividend paying common stocks, especially those that have a long record of increasing their dividend every year.
Wal-Mart - The Worlds Greatest Retailer, After a Long Hiatus, is a Solid Buy
We are going to start the new year off by looking at Wal-Mart which we believe is a blue-chip growth and dividend income selection that can be purchased at a sound and attractive valuation. We believe it is currently fairly valued. Therefore, it represents a very attractive candidate for the long-term investor interested in above-average capital appreciation, with an attractive dividend yield that is greater than the 10-year Treasury bond yield and potentially growing at double-digit rates.The company represents an ideal long-term buy-and-hold investment for the prudent fundamental investor.
Dividend Champions a Rare Undervalued Opportunity
We believe that based on earnings, 2012 is starting out with the stock market undervalued. We believe in the long-term ownership of great businesses purchased at sound and attractive valuations. Consequently, we view the stock market as merely the store that we shop at in order to buy the businesses we want to own.
Americas Best Companies are Cheap - So Merry Christmas and a Prosperous New Year!
Investors have been fleeing US equities at unprecedented levels. Yet, I believe there is compelling evidence that suggests that this may be the best opportunity to invest in high-quality U.S. common stocks that we have seen in many years. The list of 100 stocks presented in this article represents only a sampling of the many companies that are selling at valuations which are lower than their fundamentals justify. The only logical reason that I can come up with for this, is extreme pessimism.
Growth and Value: Esterline Technologies - a Leading Defense Contractor
With the amount of volatility seen in the equity markets today, many people seem to believe that the old proven practices of investing in solid businesses for the long run no longer apply. But its important to remember that there is a significant distinction between true investing and speculating. And its even more important to recognize that the level of risk taken by speculators is significantly greater than the amount of risk assumed by investors.
The Case for Optimism: Our Top 25 Dividend Growth Stocks are Dirt Cheap
Within each challenge there has also been accompanying opportunity.And in most cases, the opportunities tend to dwarf the risks. The opportunities that we believe our recent challenges are bringing us are unnecessarily low valuations on some of our highest-quality companies.Yet, it is a fact that investors are flocking to bonds in droves at precisely a time when the risk of owning bonds is perhaps the greatest it has ever been. Most investors want to defy the cardinal rule of investing-buy low, sell high.
A Micro Case For Future Stock Market Performance Optimism
On November 14 Liz Ann Sonders, Senior VP and Chief Investment Strategist for Charles Schwab & Co. prepared a report that focuses on the stock markets micro opportunity. The following excerpts from Sonders report highlights several reasons supporting a rational shift in investors attitudes towards optimism. We will intersperse our own commentary among these excerpts in order to emphasize some of our key points. Our objective in sharing this information, is to support our thesis that common stocks are on sale today and, therefore, all the pessimism is more than likely already priced in.
Aflacs (AFL) Fair Value PE Ratio Should Be Double, and So Should Its Price
This is the third in a series of articles that have been designed to provide investors greater insights into the proper understanding and utilization of the PE ratio as a valuation measurement tool. With this iteration were going to look at Aflac to identify significant undervaluation. The first article in this series looked at Amazon as an example of overvaluation. Our second article looked at SCANA Corp. and Darden Restaurant Group as examples of fairly valued companies; however, we further introduced the concept of the earnings growth rate as a relative component of future return.
Two High-Yield Choices
This article is the second in a series of articles designed to elaborate on the proper utilization and understanding of the PE ratio as an important investing metric. Our first article in this series looked at how the PE ratio could be used to determine overvaluation. With this article we are going to review two companies where each is fairly valued and each has similar current PE ratios. Moreover, both companies offer yields above 3 % which is greater than is available on the 30-year Treasury bond (current yield 30-year Treasury bond 3.02%).
Amazon is a Great Growth Stock But Extremely Overvalued When its PE Ratio is Interpreted Properly
We believe Amazon potentially has a bright and prosperous long-term future. Therefore, if we could find Amazon.com Inc. priced at a sensible valuation, we would be motivated to include it into our growth portfolios. But since we fervently believe in the sage advice that price is what you pay, value is what you get, we do not believe in investing in even the best of companies when they are being overpriced by the market. When the PE ratio is properly applied, we believe that it will protect the longterm investor from making the obvious mistake of paying too much for even the best company.
Netflix - A Brutal Lesson On the Dangers of Overvaluation
The stock market has been pummeling Netflix (NFLX), assumingly based on significantly lowered expectations of future earnings results. However, the purpose of this article is not to provide a comprehensive analysis of Netflix the business. The purpose of this article is to focus on the important lesson of valuation that Netflix is currently teaching those with the foresight and an open mind to learning. Therefore, we would like to point out that most of Netflixs poor stock price performance can be attributed to the stock becoming overvalued starting in the summer of 2010.
Dissecting the Dow: 21 of the 30 Dow Stocks are Undervalued, 6 are Fairly Valued, and Only 3 Appear
This has been the fourth article in a series dealing with the relative valuations of the so-called stock markets, where the first looked at the S&P 500, and the last three covered the 30 Dow Jones Industrial Average. The principle idea behind this series is not that the markets are currently fairly valued to even undervalued based on historical precedent. Instead, we are discussing the valuation of the markets based on the intrinsic values of the underlying companies that make up the markets. In short, based on fundamentals, we believe that many quality companies are on sale today.
Get It Right Already, Apple Had an Awesome Quarter
Any way you slice it, Apple booked a great quarter. You can even say an awesome quarter. 99.9% of every publically traded company would give its proverbial right arm for a quarter like Apple had. Apple stock should not be down on this news, it should be up. In fact, based on their incredible past, present and future earnings power we believe that Apple is extremely undervalued. In our opinion, Apples numbers support a better valuation than the market is currently awarding it, based on the fundamentals behind this great technology stock.
9 of the Second 10 Best Performing Dow Stocks are Fairly Valued
We have continued to see a lot of good companies producing good shareholder returns. However, as we have gone deeper down the list, we have begun to see more examples of cyclical companies and companies that have not had as stellar a record of operating performance. Therefore, it stands to reason that these less successful businesses have also produced lower shareholder returns. We believe its important for prospective investors to realize how different specific companies can perform regardless of the general state of the market.
Most of the 10 Best Performing Dow Jones Industrial Stocks are Great Buys Today
When people refer to what the stock market is doing, they are more often than not speaking about the Dow Jones Industrial average. This leading index of 30 high profile stocks serves as a proxy for the overall health of both the economy and the stock market. We have long held that thinking in generalities can be harmful. When dealing with averages the numbers we associate with it represent an average of the whole group. It's important to remember, that the individual companies or components can have materially different results and even attributes than what we glean from the average itself.
Prof. Schiller and CAPE, Maybe Correct Generally, But Specifically Wrong: The Market is Cheap
This is the first of what will be a series of articles arguing in favor of investing in and owning quality common stocks now and for the foreseeable future. On an absolute basis, on real numbers precisely calculated, we believe that the markets in general are attractively valued today. The F.A.S.T. Graphs S&P 500 graph calculation is a current fact. Therefore, we believe that some of our finest and highest quality businesses are currently priced at the best valuations that we've seen in many years. Low valuations, represent an excellent opportunity for investors.
The Legacy of Steve Jobs and the Record of Apple will Live On
The first time Steve Jobs left Apple in 1985 he was fired. In short, his partners in upper management and the Board of Directors at that time did not share Steve's vision for Apple. His friend, Larry Ellison, CEO of Oracle Corp., recently quipped upon the firing of another high profile CEO: That it was the second dumbest decision by a Board of Directors next to Apple's firing of Steve Jobs. What follows, will be a review of the consequences of Steve Jobs firing, followed by what he accomplished upon his return.
Are You Properly Positioned for the Return of the Economic Vitality of America
It has been my observation over my last four decades of studying the stock market that investors have a penchant for projecting into the future what is currently happening. In other words, when the market is behaving badly, they tend to believe it is going to continue to behave badly far into the future. And as I reflect on this, it occurs to me that every bull market has ended with a bear market, and conversely, every bear market has ended with a bull market. The most important attribute to remember about free-markets is that they self adjust. Most know this as the law of supply and demand.
5 Exceptional Dividend Growth Stocks - Lower Volatility and Higher Total Return
For many people these are troubled times where fears about our economy and the stock market are at a heightened state. Stock price volatility is higher than we've ever seen it, adding to investor nervousness. Therefore, we searched for a safe place for conservative investors to invest. Our due diligence identified five dividend growth stocks that possess stringent quality characteristics, while at the same time have produced strong above-average historical returns. But more importantly, each candidate had to have future consensus earnings estimated growth rates greater than the S&P 500.
Sell your Bonds and Gold and Buy Dividend Growth Stocks Before it is Too Late
Although we generally believe in the soundness of the principle of diversification, we also believe that extraordinary times require extraordinary measures. Any historian of markets or economies would agree that financial markets are currently far from behaving ordinarily. We intend to point out several markets that are behaving both inefficiently and completely out-of-sync from sound and prudent economic principles. Therefore, we will argue that certain sacred cows that would and should apply during normal circumstances need to be questioned and challenged in these very uncertain times.
Strong Standard and Poor's 500 Earnings plus Weak Stock Values equals Opportunity
Extensive research, experience and analysis spanning more than 40 years has taught me that earnings determine market price in the long run. I have dubbed this principle with the acronym EDMP. However, there also exists a short-run evil twin sister EDMP. This principle states that emotions determine market price in the short run. Currently, the evil twin sister EDMP is in charge. In the longer run, I believe this spells opportunity based on the oldest of all investing adages 'buy low sell high.'
8 Strong Growth Stocks Significantly Under-valued by Mr. Market
We don't believe in investing in the stock market, we believe in investing in great businesses. Therefore, we tend to focus more on how the business is performing on an operating basis than we do on stock price volatility. True Worth valuation is what we monitor and measure most closely. Our rationale is based on the reality that any business, public or private, ultimately derives its value from the amount of cash flows and earnings it can generate for stakeholders. The bigger the income stream they can buy, the bigger the value they will eventually receive.
The Greatest Risk We Face: To Again Fall Into a Recession
A spate of frightening headlines has led to two troubling declines in financial instruments. The first, of course, is the decline in equity prices that has everyone worried about their financial futures. The second troubling decline in financial instruments is the unprecedented drop in Treasury bond yields. This is troubling because frightened investors are fleeing to the safety of Treasury bonds at the precise time when the risk of owning them has perhaps been the highest in recorded history. This is especially true for the long bond, but also applies to shorter-term bonds.
Results 401–450 of 454 found.