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Do you prefer stocks that pay handsome dividends? For a closer look at high dividend yield stocks, we ran a screen.

We began by screening for high dividend yield stocks: those paying dividend yields above 4% and sustainable payout ratios below 50%.

We screened for stocks that appear undervalued relative to their cash flows, indicated by high ratios of levered free cash flow/enterprise value.

Levered free cash flow is the free cash flow after deducting interest payments on outstanding debt. Enterprise value is the sum of the firm's value from all ownership sources: market cap, outstanding debt, and preferred shares. When companies have ratios of levered free cash flow/enterprise value in excess of 10%, it may indicate that the company as a whole is being undervalued.

For an ‪interactive version of this chart, click on the image below. Analyst ratings sourced from Zacks Investment Research.

Tool provided by Kapitall (kapitall.com).

Do you think these stocks pay sustainable dividends? Use this list as a starting point for your own analysis.

List sorted by LFCF/EV.

1. GameStop Corp. (NYSE:GME): Operates as a retailer of video game products and personal computer (PC) entertainment software. Market cap at $2.45B, most recent closing price at $18.79. Dividend yield at 5.43%, payout ratio at 11.95%. Levered free cash flow at $449.20M vs. enterprise value at $2.01B (implies a LFCF/EV ratio at 22.35%).

2. Statoil ASA (NYSE:STO): Engages in the exploration, production, transportation, refining, and marketing of petroleum and petroleum-derived products. Market cap at $81.18B, most recent closing price at $25.46. Dividend yield at 4.24%, payout ratio at 26.71%. Levered free cash flow at $13.18B vs. enterprise value at $86.33B (implies a LFCF/EV ratio at 15.27%).

3. AstraZeneca PLC (NYSE:AZN): Develops, and commercializes prescription medicines for cardiovascular, gastrointestinal, infection, neuroscience, oncology, and respiratory and inflammation diseases worldwide. Market cap at $58.57B, most recent closing price at $46.88. Dividend yield at 6.03%, payout ratio at 44.47%. Levered free cash flow at $9.00B vs. enterprise value at $59.65B (implies a LFCF/EV ratio at 15.09%).

4. Guangshen Railway Co. Ltd. (NYSE:GSH): Provides passenger and freight transportation services on the Shenzhen-Guangzhou-Pingshi railway in the People's Republic of China. Market cap at $2.11B, most recent closing price at $14.92. Dividend yield at 5.44%, payout ratio at 39.26%. Levered free cash flow at $286.50M vs. enterprise value at $1.90B (implies a LFCF/EV ratio at 15.08%).

5. Staples, Inc. (NASDAQ:SPLS): Operates as an office products company. Market cap at $7.59B, most recent closing price at $11.12. Dividend yield at 4.06%, payout ratio at 31.16%. Levered free cash flow at $1.22B vs. enterprise value at $8.83B (implies a LFCF/EV ratio at 13.82%).

6. Gannett Co., Inc. (NYSE:GCI): Operates as a media and marketing solutions company in the United States and internationally. Market cap at $3.55B, most recent closing price at $15.32. Dividend yield at 5.19%, payout ratio at 32.57%. Levered free cash flow at $597.53M vs. enterprise value at $5.05B (implies a LFCF/EV ratio at 11.83%).

*LFCF/EV data sourced from Yahoo! Finance, all other data sourced from Finviz.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it. I have no business relationship with any company whose stock is mentioned in this article.