Are you a dividend investor searching for stocks that not only offer attractive yields but also substantial long term growth? Today we screened for companies with both of those traits, and narrowed our focus to only the stocks rated as 'Strong Buy' by industry analysts. We think you'll find our list rather interesting.
EPS growth (earnings per share growth) illustrates the growth of earnings per share over time. The 1-Year Expected EPS Growth Rate is an annual growth estimate, where the growth projections are made by analysts, the company or other credible sources.
We first looked for dividend stocks. We then screened for businesses with projected high growth, measured by 1-year projected EPS growth above 25%. We then looked for companies that analysts rate as "Strong Buy" (mean recommendation < 2). We did not screen out any market caps or sectors.
Do you think these stocks will outperform? Use our list to help with your own analysis.
1) Steelcase Inc. (NYSE:SCS)
Steelcase Inc. has a Dividend Yield of 4.28% and Payout Ratio of 56.91% and 1-Year Projected Earnings Per Share Growth Rate of 33.78% and Analysts' Rating of 1.50. The short interest was 2.87% as of 06/05/2012. Steelcase Inc. designs, manufactures, and distributes furniture systems and seating products, user-centered technologies, and interior architectural products primarily in North America, Europe, and Asia. Its furniture systems portfolio consists of panel-based and freestanding furniture systems; and complementary products, such as storage, tables, and ergonomic worktools. The company also provides seating products, including ergonomic chairs; seating for collaborative or casual settings; and specialty seating for specific markets comprising healthcare and education.
2) Salem Communications Corp. (NASDAQ:SALM)
|Industry:||Broadcasting - Radio|
Salem Communications Corp. has a Dividend Yield of 3.06% and Payout Ratio of 16.68% and 1-Year Projected Earnings Per Share Growth Rate of 52.94% and Analysts' Rating of 1.50. The short interest was 0.46% as of 06/05/2012. Salem Communications Corporation, a multi-media company, develops programs for audiences interested in Christian and conservative opinion content. The company owns and operates radio stations in metropolitan markets; and radio networks that produce and distribute programming, such as talk, news, and music segments to radio stations in the United States, as well as sell commercial airtime to national advertisers on its radio stations and networks, and on independent radio station affiliates. Salem Communications Corporation programs its radio stations in various formats, including Christian teaching and talk, block programming, news talk, contemporary Christian music, Spanish Christian teaching and talk, and business.
3) NGL Energy Partners LP (NYSE:NGL)
|Industry:||Oil & Gas Refining & Marketing|
NGL Energy Partners LP has a Dividend Yield of 6.42% and 1-Year Projected Earnings Per Share Growth Rate of 104.69% and Analysts' Rating of 1.30. The payout ratio could not be determined. The short interest was 0.03% as of 06/05/2012. NGL Energy Partners LP, through its subsidiaries, operates as a vertically-integrated energy company in the United States. The company operates in three segments: Midstream, Wholesale Supply and Marketing, and Retail Propane. The Midstream segment involves in the delivery of propane from pipelines or trucks to propane terminals and transfers the propane to third-party transport trucks for delivery to retailers, wholesalers, or other consumers in Illinois, Missouri, and New York.
4) Ennis Inc. (NYSE:EBF)
Ennis Inc. has a Dividend Yield of 4.96% and Payout Ratio of 52.97% and 1-Year Projected Earnings Per Share Growth Rate of 67.91% and Analysts' Rating of 1.00. The short interest was 2.85% as of 06/05/2012. Ennis, Inc., together with its subsidiaries, engages in the print and manufacture of business forms and other business products. The company operates in two segments, Print and Apparel. The Print segment designs, manufactures, and sells business forms and other printed business products.
*Company profiles were sourced from Finviz.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.