Today I like to search for the best consumer stock picks of the next year 2013. The consumer sector is one of my favorite investment areas. Nearly half of my investments were made within consumer related product companies. I really love this sector due to the fact that there are so many well diversified companies with low risks. They raised dividends like clockwork and sharing their business success with shareholders. In addition, I believe that the end-consumer spending will grow steadily because it's a desire of humans to gain wealth and supply. All ends in rising consumer demand. The sector has nearly 400 companies listed. Smart investors should take a closer look at the buy opportunities.
I made a screen of the best consumer growth picks. These are my criteria:
- Forward P/E under 15
- Past 5Y Sales growth over 10 percent
- Earnings per share growth for the next five years over 10 percent
- Operating Margin over 10 percent
Twelve stocks fulfilled these criteria of which six pay dividends and all twelve are currently recommended to buy. The results are dominated by textile, apparel, footwear and accessories stocks.
Here is the full table with some fundamentals:
Take a closer look at the full list. The average P/E ratio amounts to 14.72 and forward P/E ratio is 10.88. The dividend yield has a value of 1.11 percent. Price to book ratio is 2.94 and price to sales ratio 1.34. The operating margin amounts to 16.30 percent. The average stock has a debt to equity ratio of 0.44.
Related stock ticker symbols:
CRESY, TRLG, COH, INGR, PVH, TWI, ALN, SHOO, GMCR, DECK, FOSL, VRA