Cheap high beta dividend stocks from the consumer goods sector originally published at long-term-investments.blogspot.com. You might know that I really love stocks from the consumer goods sector. They offer a very good risk profile for income seeking investors with a desire for future dividend growth. The problem is that they are also highly valuated. This was one of the reasons why I needed to purchase more and more stocks from other sectors like industrials and healthcare stocks.
I'm not worried about this because with every single stock purchase of other industries and sectors, my diversification rises. The second negative item in terms of consumer good stocks is that most of them are low beta stocks. If you like to make money in a strong upside market, you lose performance with low beta stocks.
This is the reason why I discovered some high beta stocks with attractive valuation figures this month in an article serial.
Back the current screen about high beta consumer dividend stocks. I observed this time large capitalized consumer dividend stocks with a low forward P/E and a beta ratio above one.
My screen produced only eleven results with yields between 0.71 percent and 2.58 percent. Nearly all of them (10 stocks) have a current buy or better rating by brokerage firms.
Here is the full table with some fundamentals:
Take a closer look at the full list. The average P/E ratio amounts to 26.27 and forward P/E ratio is 11.57. The dividend yield has a value of 1.91 percent. Price to book ratio is 3.01 and price to sales ratio 0.97. The operating margin amounts to 9.56 percent and the beta ratio is 1.80. Stocks from the list have an average debt to equity ratio of 1.35.
Related Stock Ticker Symbols:
PHG, COH, IP, F, CCE, WHR, JCI, BG, HOG, SNE, TTM