I wanted to do a screen of high-performing, high-yielding dividend stocks. First I did a screen for stocks that rose over 100% in the past year, that paid a dividend yield of 5% of greater. Below is the screen with financial numbers for each ticker from Finviz.com.
Newcastle Investment (NCT) - $8.61:
Real estate investment and finance company that invests in and manages a portfolio consisting primarily of real estate securities, the company yields a high dividend of 10.22%. Further, the company stopped paying a dividend in 2009 and 2010 as it recovered from the height of the credit crisis. The dividend has been rising steadily ever since. Trailing P/E is an exceptionally low 2.82, and forward P/E is 6.83. PEG is 0.47. Price/book is 1.49. Current ratio is 2.85. Short interest is 1.50% and falling. Both insiders and institutions are buying.
Its portfolio includes: commercial mortgage backed securities, senior unsecured debt issued by property REITs, real estate related asset backed securities, agency residential mortgage backed securities, loans including real estate related loans, commercial mortgage loans, residential mortgage loans, and manufactured housing loans, and operating real estate.
The graph shows there is a good chance of a short-term pullback, but its year-long upward trend seems intact. Same seems true for the long-term graph. It is a long way from its 2007 high of $32, but the trend seems that it will get back up there sooner or later.
Perion Network (PERI) - $9.35:
It is interesting that this stock popped up, because currently it offers no dividend. The last dividend paid was for 2010. Could it be preparing to start paying a dividend again? I could not find any source saying this, but this could be something to watch. Trailing P/E is 30, but it does not list a forward P/E, a potential red flag.
Short interest is rising, and institutions are selling, another potential red flag. Lastly, the downloadable consumer products and digital medial company is based in Israel. Nothing wrong with Israeli stocks, but I just don't think it is the best place to park my money due to the geopolitical climate there. Price/book is 2.61 and Current ratio is 1.63.
The graph says there is again a good chance of a short-term pullback, but its year-long upward trend seems intact. However, the long-term graph gives a big warning sign that the stock seems to have more of a likelihood to fall than to rise.
Rentech Nitrogen Partners, L.P. (RNF) - $37.50:
This is my favorite stock, and I am a big investor. This natural gas-based nitrogen fertilizer company that also makes industrial products for the agricultural industry is affected by natural gas prices, fertilizer use, and agriculture. Natural gas prices are destined to go up, but will likely stay low for years. The erosion of top soil makes fertilizer essential. Trailing P/E is 14.16, and forward P/E is 11.03. PEG is 1.00. Price/book is 13.84. Current ratio is 1.65. However, short interest is 8.50% and rising. Institutions are selling, but insiders are buying in large amounts.
This is the first graph here that appears to be at, or very close to, a technical buy point. Yes, the stock could still head lower, as it is not quite at support yet. But after a three month-long consolidation phase, it might just be ready to break out. This is a young stock, having just completed an IPO last year, as shown in the graph below. But that graph shows the stock is actually at its long-term support and could head higher.
Sabra Health Care REIT (SBRA) - $21.27:
The company owns and invests in 86 properties comprising 67 skilled nursing facilities; 10 combined skilled nursing, assisted living, and independent living facilities; 5 assisted living facilities; 2 mental health facilities; 1 independent living facility; and 1 continuing care retirement community. The company leases its properties to subsidiaries of Sun Healthcare Group. As of December 31, 2010, its properties had a total of 9,603 licensed beds or units across 19 states. Trailing P/E is 34.75, and forward P/E is 12.51. PEG is 3.02. Price/book is 2.52. Current ratio is 1.91. However, short interest is 6.50% and rising. Institutions are selling, but insiders are buying, though in small amounts.
This also looks like a graph at or very close to a technical buy point. The stock is at support. The year-long trend is steadily sloping upward. The long-term graph shows that it could hit resistance around $28. Till then, let it run.
Dividends are great for preserving capital with a chance to grow. The higher the stock can gain, the better. These four stocks are my first attempt to find high-performing, high-dividend yielding stocks.
Disclosure: I am long RNF.
Additional disclosure: I may purchase NCT in the near future.