Yahoo Finance 3 Top Ranked Stocks Doling out Sizable Dividends
When looking for a nice dividend stock, one should have an elaborate set of criteria to be met. Double digit dividend yields are tempting, but you should do more research to make sure that your investments are dependable. After all, a 30% dividend yield won’t be worth much if the stock price ends up going to $0.
Make sure that whatever you’re investing in has a nice valuation so that you can worry less about about the negativity which volatility can cause. After all, you don’t want to get caught up in bumpy trading when you buy a stock with a high price tag. Fortunately, we have found three top ranked stocks with hefty yields you can depend on. Each of these stocks have earned a “B” for value in our Style Scores. They have all done well in outperforming our EPS consensus estimate as well. The three stocks below deserve your consideration if you're looking for some valuable stocks with considerable yields.
Guess Inc-GES
Guess designs and sells casual apparel across the globe. The fashion brand did well to beat our revenues consensus last quarter. Guess is a Zacks Rank #1 (Strong Buy). It doles out a generous 4% yield to investors.
Guess has a “B” for value in our Style Scores, and for good reason. It trades at a price to book of 1.77, while the industry as a whole trades at a 2.36. The company also has a price to sales of just 0.81. A price to sales under one may suggest that there is value present. Guess has an Enterprise value to EBITDA of just 6.09, and is way ahead of the industry with regards to this valuation.
Guess has beaten our EPS consensus estimate in each of the last four quarters. It has managed to surpass our consensus by an average of 65% per quarter. The corporation reports its earnings on 12/2/15.
AbbVie Inc-ABBV
AbbVie is a research based biopharmaceutical company with a global presence. The company strives to create innovative therapies and drugs to treat serious diseases of the kidney and liver. The company also focuses on advancing treatments for cancer. AbbVie is a Zacks Rank #2 (Buy). The stock has a yield of 3.64%.
AbbVie has some nice growth and value characteristics. For one, the stock has a PEG of just 0.91, and a forward PE of 13.04. ABBV also has an earnings yield of 7.68%. Sales are projected to grow by 15% this year. The company’s EPS is expected to be 28.52% higher compared to last year’s earnings. The biopharmaceutical corporation has beaten our EPS consensus in each of the last four quarters and it reports earnings on 10/30/15.
Darden Restaurants, Inc-DRI
Darden Restaurants owns several restaurant chains. Some of these franchises include Olive Garden, LongHorn Steakhouse, and Bahama Breeze. The company even owned Red Lobster until mid 2014. Darden is a Zacks Rank #1 (Strong Buy). DRI doles out a 3.3% yield to investors.
Restaurants tend to have pretty high valuations as a whole. For example, the industry trades at a forward PE of 27.39, while Darden’s is only 20.52 in comparison. Its price to sales is exceptional at just 1.24. Darden’s ROE is 17%, while the industry lags behind at just 12.42%.
Our EPS consensus for this quarter has been rising over the last 90 days. This is encouraging, especially when you consider the fact that Darden has beaten our earnings consensus consistently over the last four quarters. DRI reports its earnings on 12/15/15.
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DARDEN RESTRNT (DRI): Free Stock Analysis Report
ABBVIE INC (ABBV): Free Stock Analysis Report
GUESS INC (GES): Free Stock Analysis Report
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