The stock market is a fluid thing. What seems like a great value one moment can seem overpriced the next.
Been doing some research on my watch list. Looked around quite a bit at many of the other dividend growth bloggers and took in their info and excuses as to why "Company ABC is the one to buy at this time!!"
In fact, many of my purchases over the past 5 years has been a result of seeing a pattern of recommendations by these bloggers and narrowing it down to one or two.
I do have a watch list that lists companies that pass my screening threshold. You could call that my "master list" from which I pick the ones that I eventually buy from. The list does fluctuate, but I tend to follow it for a couple months at a time before re-screening.
From that current list, I revisit my screener and see what stands out. Here's what I want to see:
- P/E under 20
- PEG ratio under 2
- Dividend growth of over 10% over the past 5 years
- A dividend yield over 2%
Here's the three that I seem to like for the upcoming month...
Please note that these are
ROYAL CARIBBEAN CRUISES (RCL)
Coming in at $119.13 this weekend, that's a nice fall off from this year's high close of $130.89.
It's rice to earnings ratio is at 12.99, which is well below my 19 limit. Even nicer is that is is well below the industry P/E average of 25.90.
Their EPS growth is at 31.95% with a projection of another 11% in the coming year. Combine that with a PEG ratio at 1.27, their growth is not overpriced.
The dividend yield is currently at 2.62% and has been growing at a 21.06% clip over the past 5 years. Not too shabby! Add to that a payout ratio of only 34%, there still is quite a bit of room to grow in this area. They should have their next Ex-Dividend sometime in mid December.
This stock seems like a good bet at this time.
AMERIPRISE FINANCIAL (AMP)
AMP is riding high right now, but what solid company isn't? Currently they are trading at $159.77, pretty much their high water mark of the year, but well off the $182 they hit back in January of 2018.
A P/E ratio of 11.14. Their industry average is 17.37. Also I like their PEG ratio at an even 1, which they are failry valued at this point.
Their dividend pays at a 2.43% clip. A payout ratio of only 27.4% and a growth rate of 10.83 over the past 5 years. Unfortunately I also missed out on their Ex-Dividend of 11/1.
PENSKE AUTOMOTIVE GROUP (PAG)
Even though PAG is close ($51.09) to its 52 week high of $52.51, I still feel they are a good value. Their P/E ratio is at a 9.78, well under their industry average of 23.95.
Their dividend pays at a 3.21% clip and has grown 14.32% over the past 5 years.
What makes them interesting is that they have been raising their dividend by .01 per share EVERY QUARTER for over 8 years! It's easy to know what to expect, especially when their payout ratio is still at 31.72%. I just missed their Ex-Div date of 11/7, but I do want to give them a shot, even though their earnings have not been as expected over the past year.
I like them, but they do come in 3st....
Others that I have been eyeballing are Lockheed Martin (LMT), Principal Financial Group (PFG), and Netapp Inc (NTAP). In fact NTAP may supplant Penske within this month since their dividend growth and value is impressive.
Thoughts?
Been doing some research on my watch list. Looked around quite a bit at many of the other dividend growth bloggers and took in their info and excuses as to why "Company ABC is the one to buy at this time!!"
In fact, many of my purchases over the past 5 years has been a result of seeing a pattern of recommendations by these bloggers and narrowing it down to one or two.
I do have a watch list that lists companies that pass my screening threshold. You could call that my "master list" from which I pick the ones that I eventually buy from. The list does fluctuate, but I tend to follow it for a couple months at a time before re-screening.
From that current list, I revisit my screener and see what stands out. Here's what I want to see:
- P/E under 20
- PEG ratio under 2
- Dividend growth of over 10% over the past 5 years
- A dividend yield over 2%
Here's the three that I seem to like for the upcoming month...
Please note that these are
ROYAL CARIBBEAN CRUISES (RCL)
Coming in at $119.13 this weekend, that's a nice fall off from this year's high close of $130.89.
It's rice to earnings ratio is at 12.99, which is well below my 19 limit. Even nicer is that is is well below the industry P/E average of 25.90.
Their EPS growth is at 31.95% with a projection of another 11% in the coming year. Combine that with a PEG ratio at 1.27, their growth is not overpriced.
The dividend yield is currently at 2.62% and has been growing at a 21.06% clip over the past 5 years. Not too shabby! Add to that a payout ratio of only 34%, there still is quite a bit of room to grow in this area. They should have their next Ex-Dividend sometime in mid December.
This stock seems like a good bet at this time.
AMERIPRISE FINANCIAL (AMP)
AMP is riding high right now, but what solid company isn't? Currently they are trading at $159.77, pretty much their high water mark of the year, but well off the $182 they hit back in January of 2018.
A P/E ratio of 11.14. Their industry average is 17.37. Also I like their PEG ratio at an even 1, which they are failry valued at this point.
Their dividend pays at a 2.43% clip. A payout ratio of only 27.4% and a growth rate of 10.83 over the past 5 years. Unfortunately I also missed out on their Ex-Dividend of 11/1.
PENSKE AUTOMOTIVE GROUP (PAG)
Even though PAG is close ($51.09) to its 52 week high of $52.51, I still feel they are a good value. Their P/E ratio is at a 9.78, well under their industry average of 23.95.
Their dividend pays at a 3.21% clip and has grown 14.32% over the past 5 years.
What makes them interesting is that they have been raising their dividend by .01 per share EVERY QUARTER for over 8 years! It's easy to know what to expect, especially when their payout ratio is still at 31.72%. I just missed their Ex-Div date of 11/7, but I do want to give them a shot, even though their earnings have not been as expected over the past year.
I like them, but they do come in 3st....
Thoughts?
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