Dividends are always a great way to increase the total return of a portfolio. Unfortunately, this view took way too long to be accepted by some. Just remember, it’s never too late to join the dividend party when the market is sinking and a company’s earnings are still growing.
The one-year fiscal EPS growth rate is a metric that shouldn't be overlooked when the economy remains so uncertain. Sure, top-line growth is great, but forgetting the bottom-line growth is a rookie mistake. After all, this type of growth illustrates a company's profitability per unit of shareholder ownership.
We ran a screen for financial companies that have strong liquidity (current ratio>2) and an interesting dividend yield (X>4). From this narrowed pool we then screened for firms that were growing the bottom line by a strong degree (one-year fiscal EPS growth>20%).
The list is ranked from lowest to highest the one-year fiscal EPS growth rate.
1. Knightsbridge Tankers, Ltd. (VLCCF)
Sector | Industrials |
Industry | Shipping & Ports |
Market Cap | $424M |
Beta | 1.01 |
Analyst Sentiment | 3/5-List Hold/ Neutral (Neutral) |
The company offers oceanic transportation of crude oil and dry bulk cargoes worldwide. The firm’s dividend yield is 11.53%. VLCCFs’s one-year fiscal EPS growth rate is 59.06%. The firm’s current ratio is 6.79. The short interest for the firm is 9% as of 8/15/2011.
2. Southern Copper Corporation (SCCO)
Sector | Basic Materials |
Industry | Copper |
Market Cap | $25262M |
Beta | 1.6 |
Analyst Sentiment | 7/14-List Buy/Outperform (Bullish) |
The company engages in mining and refining minerals, primarily copper, in Peru, Mexico, and Chile. The firm’s dividend yield is 7.33%. SCCO’s one-year fiscal EPS growth rate is 67.89%. The firm’s current ratio is 4.69. The short interest for the firm is 3.1% as of 8/15/2011.
3. Mattel, Inc. (MAT)
Sector | Consumer Cyclical |
Industry | Leisure |
Market Cap | $8120M |
Beta | 0.99 |
Analyst Sentiment | 12/16-List Buy/Outperform (Bullish) |
The company manufactures and markets toys worldwide. The firm’s dividend yield is 5.45%. MAT’s one-year fiscal EPS growth rate is 28.28%. The firm’s current ratio is 2.82. The short interest for the firm is 2% as of 8/15/2011.
4. Alliance Holdings GP, L.P. (AHGP)
Sector | Basic Materials |
Industry | Industrial Metals & Minerals |
Market Cap | $2642M |
Beta | 0.87 |
Analyst Sentiment | 2/4-List Hold/Neutral (Neutral) |
The company produces and markets coal to utilities and industrial users in the US. The firm’s dividend yield is 4.9%. AHGP’s one-year fiscal EPS growth rate is 52.36%. The firm’s current ratio is 3.12. The short interest for the firm is 0.6% as of 8/15/2011.
5. Grupo Aeroportuario del Surest (ASR)
Sector | Industrials |
Industry | Airports & Air Services |
Market Cap | $1570M |
Beta | 1.37 |
Analyst Sentiment | 4/5 List-Buy/Outperform (Bullish) |
The company operates and develops airports in Mexico. The firm’s dividend yield is 4.88%. ASR’s one-year fiscal EPS growth rate is 59.77%. The firm’s current ratio is 3.13. The short interest for the firm is not available as of 8/15/2011.
6. Microchip Technology, Inc. (MCHP)
Sector | Technology |
Industry | Semiconductors |
Market Cap | $5642M |
Beta | 1.07 |
Analyst Sentiment | 9/17-List Hold/Neutral (Neutral) |
The company manufactures and markets semiconductor products for embedded control applications. The firm’s dividend yield is 4.67%. MCHP’s one-year fiscal EPS growth rate is 89.66%. The firm’s current ratio is 6.39. The short interest for the firm is 12% as of 8/15/2011.
7. Cinemark Holdings Inc. (CNK)
Sector | Consumer Cyclical |
Industry | Leisure |
Market Cap | $2210M |
Beta | 1.22 |
Analyst Sentiment | 11/17-List Buy/Outperform (Bullish) |
The company operates 436 theatres with in 39 states in the US. The firm’s dividend yield is 4.34%. CNK’s one-year fiscal EPS growth rate is 48.28%. The firm’s current ratio is 2.4. The short interest for the firm is 4.80% as of 8/15/2011.
8. Pacific Airport Group (PAC)
Sector | Industrials |
Industry | Airports & Air Services |
Market Cap | $2101M |
Beta | 1.2 |
Analyst Sentiment | 3/6-List Hold/Neutral (Neutral) |
The company operates and develops airports in Mexico. The firm’s dividend yield is 4.19%. PAC’s one-year fiscal EPS growth rate is 25.57%. The firm’s current ratio is 4.4. The short interest for the firm is not available as of 8/15/2011.
9. Watsco, Inc. (WSO)
Sector | Technology |
Industry | Electronics Distribution |
Market Cap | $1765M |
Beta | 0.79 |
Analyst Sentiment | 6/12-List Hold/Neutral (Neutral) |
The company distributes air conditioning, heating and refrigeration equipment and supplies in the US. The firm’s dividend yield is 4.07. WSO’s one-year fiscal EPS growth rate is 77.86%. The firm’s current ratio is 2.43. The short interest for the firm is 9% as of 8/15/2011.
10. Maxim Integrated Products (MXIM)
Sector | Technology |
Industry | Semiconductors |
Market Cap | $6265M |
Beta | 1.15 |
Analyst Sentiment | 16/25-List Hold/Neutral (Neutral) |
The company manufactures and markets a linear and mixed-signal integrated circuits across the globe. The firm’s dividend yield is 4%. MXIM’s one-year fiscal EPS growth rate is 302.5%. The firm’s current ratio is 4.29. The short interest for the firm is not available as of 8/15/2011.
We hope this list helps as investors do their own due diligence on dividend stocks that look appealing.
