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I have searched for profitable companies that pay rich dividends, and that are in a short-term uptrend, in a mid-term uptrend and in a long-term uptrend. Stocks in an uptrend are performing well and are in a buying mode. Those stocks would also have to show a very low debt.

I have a screening method which shows stock candidates following these lines. Nonetheless, the screening method should only serve as a basis for further research. All the data for this article were taken from Yahoo Finance and finviz.com.

The screen's formula requires all stocks to comply with the following demands:

  1. The forward dividend yield is greater than 3.40%.
  2. The payout ratio is less than 65%.
  3. The trailing P/E is less than 18.
  4. The forward P/E is less than 17.
  5. The debt to equity ratio is less than 0.50.
  6. The stock price is above the 20-day simple moving average (short-term uptrend).
  7. The stock price is above the 50-day simple moving average (mid-term uptrend).
  8. The stock price is above the 200-day simple moving average (long-term uptrend).

After running this screen on July 01, 2013, before the market open, I discovered the following four stocks:

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CA Technologies (NASDAQ:CA)

CA Technologies, together with its subsidiaries, provides enterprise information technology management software and solutions that help customers manage and secure IT environments in the United States and internationally.

CA Technologies has a very low debt (total debt to equity is only 0.24) and it has a very low trailing P/E of 13.83 and a very low forward P/E of 11.25. The price to free cash flow for the trailing 12 months is at 17.60, and the average annual earnings growth estimates for the next five years is quite high at 8.0%. The forward annual dividend yield is quite high at 3.49%, and the payout ratio is only 48%.

The CA stock price is 2.03% above its 20-day simple moving average, 5.28% above its 50-day simple moving average and 16.48% above its 200-day simple moving average. That indicates a short-term, mid-term and long-term uptrend.

CA will report its latest quarterly financial results on July 22. CA is expected to post a profit of $0.71 a share, a 12.7% rise from the company's actual earnings for the same quarter a year ago. The reported results will probably affect the stock price in the short term.

The compelling valuation metrics, the rich dividend, and the fact that the stock is in an uptrend are all factors that make CA stock quite attractive.

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Chart: finviz.com

Cal-Maine Foods, Inc. (NASDAQ:CALM)

Cal-Maine Foods, Inc. engages in producing, grading, packaging, marketing, and distributing shell eggs.

Cal-Maine Foods has a very low debt (total debt to equity is only 0.13) and it has a very low trailing P/E of 12.21 and a very low forward P/E of 13.18. The current ratio is quite high at 3.20, and the price-to-sales ratio is very low at 0.90. The forward annual dividend yield is quite high at 3.63%, and the payout ratio is only 44%.

The CALM stock price is 1.17% above its 20-day simple moving average, 5.24% above its 50-day simple moving average and 9.04% above its 200-day simple moving average. That indicates a short-term, mid-term and long-term uptrend.

CALM will report its latest quarterly financial results in July. CALM is expected to post a profit of $0.74 a share, a 72% rise from the company's actual earnings for the same quarter a year ago. The reported results will probably affect the stock price in the short term.

The very low multiples, the rich dividend, and the fact that the stock is in an uptrend are all factors that make CALM stock quite attractive.

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Chart: finviz.com

Meredith Corporation (NYSE:MDP)

Meredith Corporation, a media and marketing company, engages in magazine publishing and related brand licensing, television broadcasting, digital and customer relationship marketing, digital and mobile media, and video creation operations in the United States.

Meredith Corporation has a low debt (total debt to equity is only 0.43) and it has a trailing P/E of 17.93 and a forward P/E of 16.93. The price to free cash flow for the trailing 12 months is at 21.99, and the average annual earnings growth estimates for the next five years is very high at 15%. The forward annual dividend yield is very high at 3.42%, and the payout ratio is at 61%.

The MDP stock price is 9.28% above its 20-day simple moving average, 15.21% above its 50-day simple moving average and 30.68% above its 200-day simple moving average. That indicates a short-term, mid-term and long-term uptrend.

MDP will report its latest quarterly financial results on July 22. MDP is expected to post a profit of $0.72 a share, a 7.5% rise from the company's actual earnings for the same quarter a year ago. The reported results will probably affect the stock price in the short term.

All these factors - the strong earnings growth prospects, the very rich dividend, and the fact that the stock is in an uptrend - make MDP stock quite attractive.

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Chart: finviz.com

Provident Financial Services, Inc. (NYSE:PFS)

Provident Financial Services, Inc. operates as the holding company for The Provident Bank that provides banking services to individuals, families, and businesses in New Jersey.

Provident Financial has no debt at all and it has a low trailing P/E of 13.60 and a low forward P/E of 13.29. The price to book value is very low at 0.91. The price to free cash flow for the trailing 12 months is at 19.91, and the average annual earnings growth estimates for the next five years is at 5%. The forward annual dividend yield is quite high at 3.55%, and the payout ratio is only 48%.

The PFS stock price is 3.41% above its 20-day simple moving average, 3.41% above its 50-day simple moving average and 5.90% above its 200-day simple moving average. That indicates a short-term, mid-term and long-term uptrend.

PFS will report its latest quarterly financial results in July. PFS is expected to post a profit of $0.29 a share, a 3.6% rise from the company's actual earnings for the same quarter a year ago. The reported results will probably affect the stock price in the short term.

The compelling valuation metrics, the very rich dividend, the fact that the stock is trading below its book value, and the fact that the stock is in an uptrend are all factors that make PFS stock quite attractive.

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Chart: finviz.com

Source: 4 Good-Yielding Stocks With Low Debt In An Uptrend