3 Dividend And 2 Growth Plays To Consider

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 |  Includes: EQT, KEY, MTB, NOK, OVTI
by: Tactical Investor

Only stocks that met the following criteria were included on this list. Novice investors would do well to follow some of the suggested guidelines when it comes to looking for new investment ideas.

  1. Net income should be generally trending upwards for the past 3 years
  2. EPS should be trending upwards for the past 3 years
  3. Sales should be trending upwards for the past 3 years
  4. Cash flow per share should be trending upwards for the past 3 years
  5. Annual EPS before NRI should be generally trending upwards for the past 3 years
  6. A payout ratio of 45% or lower when applicable; if no dividends are paid then this criteria is not applicable
  7. EBITDA should be generally trending upwards for the past 3 years
  8. 3-5 year projected EPS growth rate of 7.6% or higher
  9. If the company has a positive levered free cash flow, it should be viewed as "icing on the cake"

Company: Keycorp New (NYSE:KEY)

Basic Key ratios

Percentage Held by Insiders = 0.85

Growth

  1. Net Income ($mil) 12/2011 = 920
  2. Net Income ($mil) 12/2010 = 554
  3. Net Income ($mil) 12/2009 = -1335
  4. 12 months Net Income this Quarterly/12 months Net Income 4Q's ago = 3.13
  5. Quarterly Net Income this Quarterly/same Quarter year ago = -23.95
  1. EBITDA ($mil) 12/2011 = 1847
  2. EBITDA ($mil) 12/2010 = 1349
  3. EBITDA ($mil) 12/2009 = -1613
  4. Annual Net Income this Yr/ Net Income last Yr = 66.07
  5. Cash Flow ($/share) 12/2011 = 1.3
  6. Cash Flow ($/share) 12/2010 = 0.84
  7. Cash Flow ($/share) 12/2009 = -0.95
  1. Sales ($mil) 12/2011 = 4697
  2. Sales ($mil) 12/2010 = 5362
  3. Sales ($mil) 12/2009 = 5830
  1. Annual EPS before NRI 12/2007 = 2.38
  2. Annual EPS before NRI 12/2008 = -2.88
  3. Annual EPS before NRI 12/2009 = -2.18
  4. Annual EPS before NRI 12/2010 = 0.47
  5. Annual EPS before NRI 12/2011 = 0.92

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Dividend history

  1. Dividend Yield = 1.5
  2. Dividend Yield 5 Year Average 12/2011 = 2.88
  3. Dividend Yield 5 Year Average 09/2011 = 2.88
  4. Annual Dividend 12/2011 = 0.1
  5. Annual Dividend 12/2010 = 0.04
  6. Forward Yield = 1.5
  7. Dividend 5 year Growth 12/2011 = -52.64

Dividend sustainability

  1. Payout Ratio 09/2011 = 0.13
  2. Payout Ratio 06/2011 = 0.13
  3. Payout Ratio 5 Year Average 12/2011 = 0.3
  4. Change in Payout Ratio = -0.17

Performance

  1. Percentage Change Price 52 Weeks Relative to S&P 500 = -10.71
  2. Next 3-5 Year Estimate EPS Growth rate = 7.69
  3. EPS Growth Quarterly(1)/Q(-3) = -100
  4. 5 Year History EPS Growth 12/2011 = N/A
  5. 5 Year History EPS Growth 09/2011 = N/A
  6. ROE 5 Year Average 12/2011 = -0.95
  7. ROE 5 Year Average 09/2011 = -0.95
  8. ROE 5 Year Average 06/2011 = -0.58
  9. Return on Investment 12/2011 = 4.49
  10. Return on Investment 09/2011 = 4.49
  11. Return on Investment 06/2011 = 4.73
  12. Debt/Total Cap 5 Year Average 12/2011 = 55.06
  1. Current Ratio 12/2011 = 0.87
  2. Current Ratio 5 Year Average = 0.96
  3. Quick Ratio = 0.86
  4. Cash Ratio = 0.07
  5. Interest Coverage Quarterly = 6.19

Valuation

  1. Book Value Quarterly = 10.31
  2. Price/ Book = 0.78
  3. Price/ Cash Flow = 6.19

Company: Omnivision Tech (NASDAQ:OVTI)

Basic Key ratios

Percentage Held by Insiders = 0.4

Growth

  1. Net Income ($mil) 12/2011 = 124
  2. Net Income ($mil) 12/2010 = 7
  3. Net Income ($mil) 12/2009 = -37
  4. 12months Net Income this Quarterly/12 months Net Income 4Q's ago = 3.25
  5. Quarterly Net Income this Quarterly/same Quarter year ago = -99.75
  1. EBITDA ($mil) 12/2011 = 149
  2. EBITDA ($mil) 12/2010 = 33
  3. EBITDA ($mil) 12/2009 = -12
  4. Annual Net Income this Yr/ Net Income last Yr = 1752.38
  5. Cash Flow ($/share) 12/2011 = 2.53
  6. Cash Flow ($/share) 12/2010 = 0.57
  7. Cash Flow ($/share) 12/2009 = -0.06
  1. Sales ($mil) 12/2011 = 956
  2. Sales ($mil) 12/2010 = 603
  3. Sales ($mil) 12/2009 = 507
  1. Annual EPS before NRI 12/2007 = 0.47
  2. Annual EPS before NRI 12/2008 = 1.11
  3. Annual EPS before NRI 12/2009 = -0.59
  4. Annual EPS before NRI 12/2010 = 0.13
  5. Annual EPS before NRI 12/2011 = 2.12

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Performance

  1. Percentage Change Price 52 Weeks Relative to S&P 500 = -45.35
  2. Next 3-5 Year Estimate EPS Growth rate = 15
  3. EPS Growth Quarterly(1)/Q(-3) = -101
  4. 5 Year History EPS Growth 12/2011 = 28.73
  5. 5 Year History EPS Growth 09/2011 = 28.73
  6. ROE 5 Year Average 12/2011 = 6.53
  7. Return on Investment 12/2011 = 11.22
  8. Debt/Total Cap 5 Year Average 12/2011 = 6.2
  1. Current Ratio 12/2011 = 6.2
  2. Current Ratio 09/2011 = 6.2
  3. Current Ratio 06/2011 = 3.85
  4. Current Ratio 5 Year Average = 4.97
  5. Quick Ratio = 4.19
  6. Cash Ratio = 3.23
  7. Interest Coverage Quarterly = 1.11

Company: M&T Bank Corp (NYSE:MTB)

Basic Key ratios

  1. Percentage Held by Insiders = 6.44
  2. Number of Institutional Sellers 12 Weeks = 2

Growth

  1. Net Income ($mil) 12/2011 = 859
  2. Net Income ($mil) 12/2010 = 736
  3. Net Income ($mil) 12/2009 = 380
  4. 12 months Net Income this Quarterly/12 months Net Income 4Q's ago = 8.62
  5. Quarterly Net Income this Quarterly/same Quarter year ago = 0.09
  1. EBITDA ($mil) 12/2011 = 1667
  2. EBITDA ($mil) 12/2010 = 1550
  3. EBITDA ($mil) 12/2009 = 1057
  4. Annual Net Income this Yr/ Net Income last Yr = 16.75
  5. Cash Flow ($/share) 12/2011 = 8.54
  6. Cash Flow ($/share) 12/2010 = 7.85
  7. Cash Flow ($/share) 12/2009 = 5.05
  1. Sales ($mil) 12/2011 = 4375
  2. Sales ($mil) 12/2010 = 3838
  3. Sales ($mil) 12/2009 = 3773
  1. Annual EPS before NRI 12/2007 = 6.86
  2. Annual EPS before NRI 12/2008 = 5.39
  3. Annual EPS before NRI 12/2009 = 3.11
  4. Annual EPS before NRI 12/2010 = 5.84
  5. Annual EPS before NRI 12/2011 = 6.48

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Dividend history

  1. Dividend Yield = 3.3
  2. Dividend Yield 5 Year Average 12/2011 = 3.74
  3. Dividend Yield 5 Year Average 09/2011 = 3.74
  4. Annual Dividend 12/2011 = 2.8
  5. Annual Dividend 12/2010 = 2.8
  6. Forward Yield = 3.23
  7. Dividend 5 year Growth 12/2011 = 0.89

Dividend sustainability

  1. Payout Ratio 09/2011 = 0.44
  2. Payout Ratio 06/2011 = 0.43
  3. Payout Ratio 5 Year Average 12/2011 = 0.55
  4. Payout Ratio 5 Year Average 09/2011 = 0.55
  5. Payout Ratio 5 Year Average 06/2011 = 0.55
  6. Change in Payout Ratio = -0.11

Performance

  1. Percentage Change Price 52 Weeks Relative to S&P 500 = -4.28
  2. Next 3-5 Year Estimate EPS Growth rate = 13
  3. EPS Growth Quarterly(1)/Q(-3) = 109.58
  4. 5 Year History EPS Growth 12/2011 = -1.07
  5. 5 Year History EPS Growth 09/2011 = -1.07
  6. ROE 5 Year Average 12/2011 = 9.63
  7. ROE 5 Year Average 09/2011 = 9.63
  8. ROE 5 Year Average 06/2011 = 9.79
  9. Return on Investment 12/2011 = 5.39
  10. Debt/Total Cap 5 Year Average 12/2011 = 55.01
  1. Current Ratio 12/2011 = 1
  2. Current Ratio 09/2011 = 1
  3. Current Ratio 06/2011 = 1.07
  4. Current Ratio 5 Year Average = 1.1
  5. Quick Ratio = 1.07
  6. Cash Ratio = 0.04
  7. Interest Coverage Quarterly = 4.33

Valuation

  1. Book Value Quarterly = 67.73
  2. Price/ Book = 1.28
  3. Price/ Cash Flow = 10.15

Company: Alcatel Ads (ALU)

Basic Key ratios

Percentage Held by Insiders = 1

Growth

  1. Net Income ($mil) 12/2011 = 1484
  2. Net Income ($mil) 12/2010 = -387
  3. Net Income ($mil) 12/2009 = -703
  4. 12months Net Income this Quarterly/12 months Net Income 4Q's ago = 705.11
  5. Quarterly Net Income this Quarterly/same Quarter year ago = 3663.64
  1. EBITDA ($mil) 12/2011 = 699
  2. EBITDA ($mil) 12/2010 = 82
  3. EBITDA ($mil) 12/2009 = -534
  4. Annual Net Income this Yr/ Net Income last Yr = 483.46
  5. Cash Flow ($/share) 12/2011 = 0.50
  6. Cash Flow ($/share) 12/2010 = -0.09
  7. Cash Flow ($/share) 12/2009 = -0.22
  1. Sales ($mil) 12/2011 = 20215
  2. Sales ($mil) 12/2010 = 21849
  3. Sales ($mil) 12/2009 = 20856
  1. Annual EPS before NRI 12/2007 = -0.27
  2. Annual EPS before NRI 12/2008 = -1.02
  3. Annual EPS before NRI 12/2009 = -0.23
  4. Annual EPS before NRI 12/2010 = -0.1
  5. Annual EPS before NRI 12/2011 = 0.47

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Performance

  1. Percentage Change Price 52 Weeks Relative to S&P 500 = -76.55
  2. Next 3-5 Year Estimate EPS Growth rate = 10
  3. EPS Growth Quarterly(1)/Q(-3) = -137.33
  4. ROE 5 Year Average 12/2011 = -5.14
  5. Return on Investment 06/2011 = 10.77
  6. Debt/Total Cap 5 Year Average 12/2011 = 43.33
  1. Current Ratio 06/2011 = 1.34
  2. Current Ratio 5 Year Average = 1.25
  3. Quick Ratio = 1.11
  4. Cash Ratio = 0.7
  5. Interest Coverage Quarterly = 1.72

Company: EQT Corp (NYSE:EQT)

Basic Key ratios

  1. Percentage Held by Insiders = 1.34

Growth

  1. Net Income ($mil) 12/2011 = 480
  2. Net Income ($mil) 12/2010 = 228
  3. Net Income ($mil) 12/2009 = 157
  4. 12 months Net Income this Quarterly/12 months Net Income 4Q's ago = 64.02
  5. Quarterly Net Income this Quarterly/same Quarter year ago = -41.08
  1. EBITDA ($mil) 12/2011 = 1235
  2. EBITDA ($mil) 12/2010 = 754
  3. EBITDA ($mil) 12/2009 = 561
  4. Annual Net Income this Yr/ Net Income last Yr = 110.7
  5. Cash Flow ($/share) 12/2011 = 4.52
  6. Cash Flow ($/share) 12/2010 = 3.34
  7. Cash Flow ($/share) 12/2009 = 2.68
  1. Sales ($mil) 12/2011 = 1640
  2. Sales ($mil) 12/2010 = 1323
  3. Sales ($mil) 12/2009 = 1270
  1. Annual EPS before NRI 12/2007 = 2.1
  2. Annual EPS before NRI 12/2008 = 2
  3. Annual EPS before NRI 12/2009 = 1.18
  4. Annual EPS before NRI 12/2010 = 1.57
  5. Annual EPS before NRI 12/2011 = 2.24

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Dividend history

  1. Dividend Yield = 1.8
  2. Dividend Yield 5 Year Average 12/2011 = 1.96
  3. Dividend Yield 5 Year Average 09/2011 = 1.96
  4. Annual Dividend 12/2011 = 0.88
  5. Annual Dividend 12/2010 = 0.88
  6. Forward Yield = 1.77
  7. Dividend 5 year Growth 12/2011 = 0

Dividend sustainability

  1. Payout Ratio 09/2011 = 0.43
  2. Payout Ratio 06/2011 = 0.39
  3. Payout Ratio 5 Year Average 12/2011 = 0.53
  4. Payout Ratio 5 Year Average 09/2011 = 0.53
  5. Payout Ratio 5 Year Average 06/2011 = 0.53
  6. Change in Payout Ratio = -0.1

Performance

  1. Percentage Change Price 52 Weeks Relative to S&P 500 = -5.32
  2. Next 3-5 Year Estimate EPS Growth rate = 22.25
  3. EPS Growth Quarterly (1)/Q(-3) = 125.37
  4. 5 Year History EPS Growth 12/2011 = 3.79
  5. 5 Year History EPS Growth 09/2011 = 3.79
  6. ROE 5 Year Average 12/2011 = 12.5
  7. Return on Investment 12/2011 = 5.44
  8. Return on Investment 09/2011 = 5.44
  9. Return on Investment 06/2011 = 6.16
  10. Debt/Total Cap 5 Year Average 12/2011 = 41.81
  1. Current Ratio 12/2011 = 2.24
  2. Current Ratio 09/2011 = 2.24
  3. Current Ratio 06/2011 = 2.1
  4. Current Ratio 5 Year Average = 1.32
  5. Quick Ratio = 1.95
  6. Cash Ratio = 1.76
  7. Interest Coverage Quarterly = 3.83

Conclusion

One of the best ways to open up positions in stocks you are bullish on when the market is in a corrective phase to sell naked puts at strike prices you would not mind owning the stock. In essence, you are getting paid to wait. As long as you are bullish on the stock, it's a win- win situation.

Disclaimer

This list of stocks is meant to serve as a starting point. Please do not treat this as a buying list. It is imperative that you do your due diligence and then determine if any of the above plays meet with your risk tolerance levels. The Latin maxim caveat emptor applies - let the buyer beware.

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

Additional disclosure: EPS and EPS surprise charts obtained from zacks.com. A major portion of the historical data used in this article was obtained from zacks.com.