Low leveraged stocks from the S&P 500 Low Volatility High Dividend index originally published at "long-term-investments.blogspot.com". I love high yielding stocks but most of them have a high debt burden or they grow too slow or they are not really diversified for my approach.
Every investor wants to make profits on the stock market and he tries to minimize the risk of a stock loss. An index that covers stocks with a low volatility and great dividends is the S&P 500 Low Volatility High Dividend index. The index is designed to serve as a benchmark for income-seeking investors in the U.S. equity market. 50 constituents are part of the index.
Today I like to show you which of the index members have the lowest debt ratios. I observe only stocks with a debt to equity ratio of less than 0.5. Only 14 companies fulfilled these criteria of which eight are currently recommended to buy. Drug stocks and major integrated oil and gas companies are the biggest groups of the results.
Here is the full table with some fundamentals:
Take a closer look at the full list. The average P/E ratio amounts to 22.58 and forward P/E ratio is 14.64. The dividend yield has a value of 3.23 percent. Price to book ratio is 2.57 and price to sales ratio 3.18. The operating margin amounts to 27.82 percent and the beta ratio is 0.79. Stocks from the list have an average debt to equity ratio of 0.27.
Related stock ticker symbols:
PBCT, COP, LLY, INTC, MRK, CINF, PAYX, PFE, CVX, NUE JNJ, CME, ABT, DO