A Great Combination Of Dividend Plays That Warrant Closer Look

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 |  Includes: AVGO, BK, MMM, V, WM
by: Tactical Investor

This list is meant to serve as a starting point for investors. A lot of data has been provided so it should be relatively easy for an investor to scroll down the list and decide if the stock warrants further attention. If you find the stock interesting, you can dig deeper and see if meets with your investment criteria. To help the novice investor we have put out this guideline which could prove to be useful in the selection process. "Our suggested guidelines when searching for new investment ideas

Company: Waste Management (WM)

Brief Overview

  1. Levered Free Cash Flow = 734.25M
  2. Number of Institutional Sellers 12 Weeks = 1
  3. Relative Strength 52 weeks = 50
  4. Cash Flow 5-year Average = 4.75
  5. Profit Margin = 6.97%
  6. Operating Margin = 15.18%
  7. Quarterly Revenue Growth = 6.2%
  8. Quarterly Earnings Growth = -8.1%
  9. Operating Cash Flow = 2.34B
  10. Beta = 0.67
  11. Percentage Held by Institutions = 79.9%
  12. Short Percentage of Float = 6.4%
  13. Sales vs 1 year ago = 6.9%
  14. 5 year capital spending growth rate = 13.33%
  15. Long term debt to equity = 1.46

Growth

  1. Net Income ($mil) 12/2011 = 961
  2. Net Income ($mil) 12/2010 = 953
  3. Net Income ($mil) 12/2009 = 994
  4. Net Income Reported Quarterly ($mil) = 171
  5. EBITDA ($mil) 12/2011 = 3337
  6. EBITDA ($mil) 12/2010 = 3388
  7. EBITDA ($mil) 12/2009 = 3115
  8. Cash Flow ($/share) 12/2011 = 5.1
  9. Cash Flow ($/share) 12/2010 = 4.87
  10. Cash Flow ($/share) 12/2009 = 4.49
  11. Sales ($mil) 12/2011 = 13378
  12. Sales ($mil) 12/2010 = 12515
  13. Sales ($mil) 12/2009 = 11791
  14. Annual EPS before NRI 12/2007 = 2.07
  15. Annual EPS before NRI 12/2002 = 2.21
  16. Annual EPS before NRI 12/2009 = 2
  17. Annual EPS before NRI 12/2010 = 2.14
  18. Annual EPS before NRI 12/2011 = 2.14

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Dividend history

  1. Dividend Yield = 4.30
  2. Dividend Yield 5 Year Average = 3.51
  3. Annual Dividend = 1.36
  4. Dividend 5 year Growth = 8.4%

Dividend sustainability

  1. 2. Payout Ratio 5 Year Average = 0.68
  2. Payout Ratio 5 Year Average = 0.57

Performance

  1. Next 3-5 Year Estimate EPS Growth rate = 7.5
  2. ROE 5 Year Average 12/2011 = 16.73
  3. Current Ratio 03/2012 = 0.7
  4. Current Ratio 5 Year Average = 0.98
  5. Quick Ratio = 0.73
  6. Cash Ratio = 0.15
  7. Interest Coverage Quarterly = 3.23

Company: Broadcom Corp-A (BRCM)

Brief Overview

  1. Levered free cash flow = $1.2B
  2. Profit Margin = 10.9%
  3. Operating Margin = 11.9%
  4. Quarterly Revenue Growth = 0.6%
  5. Quarterly Earnings Growth = -61%
  6. Long term debt to equity = 0.17
  7. Operating Cash Flow = 1.87B
  8. Beta = 1.33
  9. Short ratio = 1.10%

Growth

  1. Net Income ($mil) 12/2011 = 927
  2. Net Income ($mil) 12/2010 = 1082
  3. Net Income ($mil) 12/2009 = 65
  4. Net Income Reported Quarterly ($mil) = 254
  5. EBITDA ($mil) 12/2011 = 1240
  6. EBITDA ($mil) 12/2010 = 1254
  7. EBITDA ($mil) 12/2009 = 196
  8. Cash Flow ($/share) 12/2011 = 2.44
  9. Cash Flow ($/share) 12/2010 = 2.41
  10. Cash Flow ($/share) 12/2009 = 0.72
  11. Sales ($mil) 12/2011 = 7389
  12. Sales ($mil) 12/2010 = 6818
  13. Sales ($mil) 12/2009 = 4490
  14. Annual EPS before NRI 12/2007 = 0.39
  15. Annual EPS before NRI 12/2008 = 0.77
  16. Annual EPS before NRI 12/2009 = 0.46
  17. Annual EPS before NRI 12/2010 = 2.09
  18. Annual EPS before NRI 12/2011 = 1.84

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Dividend history

  1. Dividend Yield = 1.2

Dividend sustainability

  1. Payout Ratio = 0.26
  2. Payout Ratio 5 Year Average = 0.08
  3. Change in Payout Ratio = 0.12

Performance

  1. Next 3-5 Year Estimate EPS Growth rate = 14.57
  2. ROE 5 Year Average = 11.93
  3. Current Ratio = 2.60
  4. Current Ratio 5 Year Average = 3.61
  5. Quick Ratio = 2.10
  6. Interest Coverage 70.70
  7. Retention rate = 74%
  8. 5 year capital spending rate = 32.60
  9. EPS 5 year growth rate = 23.90
  10. 5 year sales growth rate = 15.8%

Company: Bank of New York Mellon (BK)

Basic overview

  1. Operating margins = 281.7%
  2. Profit margin = 17%
  3. Beta = 1.15
  4. Short ratio= 2.10
  5. Operating cash flow = $1.9 Billion
  6. Quarterly revenue growth = -0.1%
  7. Quarterly earnings growth = -1.00%
  8. Relative Strength 52 weeks = 40
  9. Cash Flow 5 -year Average = 3.02

Growth

  1. Net Income ($mil) 12/2011 = 2516
  2. Net Income ($mil) 12/2010 = 2518
  3. Net Income ($mil) 12/2009 = -1084
  4. EBITDA ($mil) 12/2011 = 4756
  5. EBITDA ($mil) 12/2010 = 4737
  6. EBITDA ($mil) 12/2009 = -1076
  7. Cash Flow ($/share) 12/2011 = 2.75
  8. Cash Flow ($/share) 12/2010 = 2.85
  9. Cash Flow ($/share) 12/2009 = 2.72
  10. Sales ($mil) 12/2011 = 14730
  11. Sales ($mil) 12/2010 = 13875
  12. Sales ($mil) 12/2009 = 13648
  1. Annual EPS before NRI 12/2007 = 2.62
  2. Annual EPS before NRI 12/2008 = 3.24
  3. Annual EPS before NRI 12/2009 = 2.18
  4. Annual EPS before NRI 12/2010 = 2.37
  5. Annual EPS before NRI 12/2011 = 2.09

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Dividend history

  1. Dividend Yield = 2.4
  2. Dividend Yield 5 Year Average = 2.10
  3. Dividend 5 year Growth 12/2011 = - 15.6%

Dividend sustainability

  1. Payout Ratio = 0.25
  2. Payout Ratio 5 Year Average = 0.25

Performance

  1. Next 3-5 Year Estimate EPS Growth rate = 9.75
  2. ROE 5 Year Average = 10.96
  3. Return on Investment = 4.65
  4. Debt/Total Cap 5 Year Average = 39.15
  5. Current Ratio = 0.74
  6. Current Ratio 5 Year Average = 0.77
  7. Quick Ratio = 0.74
  8. Cash Ratio = 0.57
  9. Interest Coverage Quarterly = 6.50
  10. Retention rate = 75%

Company: Visa Inc-A (V)

Basic overview

  1. Long term debt to equity ratio = 0.23
  2. Short ratio = 2.9%
  3. Percentage held by institutions = 82%
  4. Quarterly earnings growth = 46.7%
  5. Quarterly revenue growth = 14.8%
  6. Profit Margins = 42.7%
  7. Beta = 0.79
  8. Operating cash flow = $4.65B
  9. Levered free cash flow = $2.46B

Growth

  1. Net Income ($mil) 12/2011 = 3650
  2. Net Income ($mil) 12/2010 = 2966
  3. Net Income ($mil) 12/2009 = 2353
  4. EBITDA ($mil) 12/2011 = 7856
  5. EBITDA ($mil) 12/2010 = 6535
  6. EBITDA ($mil) 12/2009 = 5575
  7. Cash Flow ($/share) 12/2011 = 6.97
  8. Cash Flow ($/share) 12/2010 = 5.65
  9. Cash Flow ($/share) 12/2009 = 4.34
  10. Sales ($mil) 12/2011 = 9188
  11. Sales ($mil) 12/2010 = 8065
  12. Sales ($mil) 12/2009 = 6911
  13. Annual EPS before NRI 12/2008 = 2.25
  14. Annual EPS before NRI 12/2009 = 2.92
  15. Annual EPS before NRI 12/2010 = 3.91
  16. Annual EPS before NRI 12/2011 = 4.99

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Dividend history

  1. Dividend Yield = 0.7
  2. Dividend 3 year Growth =30%
  3. Payout Ratio = 0.17

Performance

  1. Next 3-5 Year Estimate EPS Growth rate = 16.43
  2. ROE 5 Year Average = 11.12
  3. Current Ratio = 2.89
  4. Quick Ratio = 1.10
  5. Interest Coverage Quarterly = 150

Company: 3M Company (MMM)

  1. Long term debt to equity ratio = 0.28
  2. 5 year sales growth rate = 4.18%
  3. Capital spending 5 year growth rate = 19.86%
  4. Short ratio = 2.5%
  5. Quarterly earnings growth = 4.10%
  6. Quarterly revenue growth = 2.4%
  7. Profit Margins = 14.5%
  8. Beta = 1.10
  9. Operating cash flow = $5.38B
  10. Levered free cash flow = $3.34B
  11. Relative Strength 52 weeks = 55
  12. Cash Flow 5-year Average = 6.79

Growth

  1. Net Income ($mil) 12/2011 = 4283
  2. Net Income ($mil) 12/2010 = 4085
  3. Net Income ($mil) 12/2009 = 3193
  4. Net Income Reported Quarterly ($mil) = 1125
  5. EBITDA ($mil) 12/2011 = 7453
  6. EBITDA ($mil) 12/2010 = 7076
  7. EBITDA ($mil) 12/2009 = 6008
  8. Cash Flow ($/share) 12/2011 = 7.88
  9. Cash Flow ($/share) 12/2010 = 7.4
  10. Cash Flow ($/share) 12/2009 = 6.31
  11. Sales ($mil) 12/2011 = 29611
  12. Sales ($mil) 12/2010 = 26662
  13. Sales ($mil) 12/2009 = 23123
  14. Annual EPS before NRI 12/2007 = 4.98
  15. Annual EPS before NRI 12/2008 = 5.16
  16. Annual EPS before NRI 12/2009 = 4.69
  17. Annual EPS before NRI 12/2010 = 5.75
  18. Annual EPS before NRI 12/2011 = 5.96

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Dividend history

  1. Dividend Yield = 2.7
  2. Dividend Yield 5 Year Average = 2.7
  3. Dividend 5 year Growth = 3.24
  4. Payout Ratio = 0.37

Performance

  1. Next 3-5 Year Estimate EPS Growth rate = 11.75
  2. 5 Year History EPS Growth = 5.04
  3. ROE 5 Year Average = 29.32
  4. Return on Investment = 20.11
  5. Current Ratio = 2.40
  6. Current Ratio 5 Year Average = 1.97
  7. Quick Ratio = 1.5
  8. Interest Coverage = 33.90

Conclusion

The markets are in a volatile phase. The turmoil in Europe, the prospects of a slowdown in economic activity from emerging nations, etc., are not helping the situation. Long-term investors should thus wait for strong pullbacks before committing funds to the market. Also consider splitting the money you would deploy into any given position into 2-3 lots and then deploy one lot at a time.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. EPS and Price Vs industry charts obtained from zacks.com. A major portion of the historical data used in this article was obtained from zacks.com.

Disclaimer: It is imperative that you do your due diligence and then determine if the above plays meets with your risk tolerance levels. The Latin maxim caveat emptor applies-let the buyer beware.