5 Mega Caps With Good Dividends To Compare

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Includes: IBM, MSFT, PTR, RDS.A, XOM
by: Dividend Screen

Large capitalized stocks are wonderful investments because they offer investors lower risk than stocks with a lower market capitalization. Mega Caps, stocks with a market capitalization of more than $200 billion, are more diversified than large capitalized stocks. They have lower volatility as well as better performance, but they are also very rare. Only 6 stocks are available in this category, of which 5 pay dividends. Apple (NASDAQ:AAPL) is the only one in this group that doesn't pay dividends.

As a group, mega caps realized a year-to-date performance of 5.1 percent which is quite above the return of the Dow (1.67 percent). The 10-year performance amounts to 43.2 percent (without dividends) and beats the Dow by more than 300 percent. Reasons enough to take a closer look at these stocks. Here are the 5 mega caps sorted by dividend yield:

1. Royal Dutch Shell (NYSE:RDS.A) has a market capitalization of $219.21 billion. The company employs 97,000 people, generates revenues of $368,056.00 million and has a net income of $20,474.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amount to $42,320.00 million. Because of these figures, the EBITDA margin is 11.50 percent (operating margin 8.75 percent and the net profit margin finally 5.56 percent).

The total debt representis 13.74 percent of the company’s assets and the total debt in relation to equity amounts to 29.95 percent. Due to the financial situation, the return on equity amounts to 14.15 percent. Finally, earnings per share amounts to $10.07 of which $3.36 were paid in form of dividends to shareholders last fiscal.

Here are the price ratios of the company: The P/E ratio is 6.90, Price/Sales 0.62 and Price/Book ratio 1.47. Dividend Yield: 4.76 percent. The beta ratio is 1.03.

2. PetroChina (NYSE:PTR) has a market capitalization of $233.32 billion. The company employs 552,698 people, generates revenues of $230,643.30 million and has a net income of $23,733.32 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amount to $48,189.37 million. Because of these figures, the EBITDA margin is 20.89 percent (operating margin 12.81 percent and the net profit margin finally 10.29 percent).

The total debt representing 14.10 percent of the company’s assets and the total debt in relation to equity amounts to 24.88 percent. Due to the financial situation, the return on equity amounts to 15.68 percent. Finally, earnings per share amounts to $12.27 of which $5.42 was paid in the form of dividends to shareholders last fiscal.

Here are the price ratios of the company: The P/E ratio is 10.39, Price/Sales 1.25 and Price/Book ratio 1.66. Dividend Yield: 4.00 percent. The beta ratio is 1.26.

3. Microsoft Corporation (NASDAQ:MSFT) has a market capitalization of $214.85 billion. The company employs 90,000 people, generates revenues of $69,943.00 million and has a net income of $23,150.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $29,927.00 million. Because of these figures, the EBITDA margin is 42.79 percent (operating margin 38.83 percent and the net profit margin finally 33.10 percent).

The total debt represents 10.97 percent of the company’s assets and the total debt in relation to the equity amounts to 20.88 percent. Due to the financial situation, the return on equity amounts to 44.84 percent. Finally, earnings per share amounts to $2.75 of which $0.64 were paid in form of dividends to shareholders last fiscal.

Here are the price ratios of the company: The P/E ratio is 9.27, Price/Sales 3.22 and Price/Book ratio 3.93. Dividend Yield: 2.99 percent. The beta ratio is 0.99.

4. Exxon Mobil Corporation (NYSE:XOM) has a market capitalization of $373.20 billion. The company employs 83,600 people, generates revenues of $383,221.00 million and has a net income of $31,398.00 million. The company’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $67,978.00 million. Because of these figures, the EBITDA margin is 17.74 percent (operating margin 13.82 percent and the net profit margin finally 8.19 percent).

The total debt representing 4.96 percent of the company’s assets and the total debt in relation to equity amounts to 10.22 percent. Due to the financial situation, the return on equity amounts to 23.67 percent. Finally, earnings per share amounts to $8.30 of which $1.74 were paid in the form of dividends to shareholders last fiscal.

Here are the price ratios of the company: The P/E ratio is 9.38, Price/Sales 0.99 and Price/Book ratio 2.68. Dividend Yield: 2.38 percent. The beta ratio is 0.51.

International Business Machines (NYSE:IBM) has a market capitalization of $218.90 billion. The company employs 426,751 people, generates revenues of $99,870.00 million and has a net income of $14,833.00 million. The company’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $22,981.00 million. Because of these figures, the EBITDA margin is 23.01 percent (operating margin 18.17 percent and the net profit margin finally 14.85 percent).

The total debt representing 25.23 percent of the company’s assets and the total debt in relation to equity amounts to 124.20 percent. Due to the financial situation, the return on equity amounts to 64.94 percent. Finally, earnings per share amounts to $12.64 of which $2.50 were paid in form of dividends to shareholders last fiscal.

Here are the price ratios of the company: The P/E ratio is 14.69, Price/Sales 2.21 and Price/Book ratio 9.98. Dividend Yield: 1.60 percent. The beta ratio is 0.67.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.