Corporations with a small amount of debt have better flexibility to grow faster than other stocks with a similar size in the same industry. Corporate debt is a major source to boost growth without issuing new shares. I’m a dividend growth investor and I look for stocks that pay in 10 years a dividend that is twice as big as today. That’s the reason why I always look beside the growth possibilities also at the dividend payout and debt figures. A company with little debt, high cash and low dividend payouts has much to offer for current shareholders.
Today I would like to screen the industrial sector by stocks with low debt figures and dividend payouts. I selected only those stocks with a 20 percent dividend payout and a debt to equity ratio of less than 0.2. Only thirteen stocks fulfilled these two criteria of which ten have a current buy or better ratio. The results are dominated by lower capitalized stocks. Only five have a market cap over a billion dollar. Here are the biggest stocks: Babcock & Wilcox (BWC), EnerSys (ENS) and Emcor Group (EME).
Source: Guru Focus
Related Articles:
- 8 Higher-Yielding Financial Services Stocks With Rising Dividends
- 5 Quality Dividend Stocks To Take The Emotion Out Of Investing
- 7 Select High-Yield S&P 500 Dividend Stocks
- A Winning Investment Strategy
- 8 Industrial Strength Stocks With Dividend Growth
Dividend Growth Stocks News
Top Industrial Dividend Stocks With Low Debt And Dividend Payouts To Boost Future Returns
Posted by D4L | Tuesday, October 15, 2013 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.