Seeking Alpha

A 4.1% dividend rate on a regulated utility selling at a 15 PE may look attractive, writes...

A 4.1% dividend rate on a regulated utility selling at a 15 PE may look attractive, writes Martin Sosnoff, but payout ratios are nearly 70% of slow-growing earnings. Instead take a look at healthcare, yielding a similar amount but with lower payout ratios. His favorites are BMY, MRK, PFE, and UNH. Of note, the XLV hit an all-time high today.
From other sites
Comments (2)
  • montanamark
    , contributor
    Comments (1452) | Send Message
     
    UNH only pays 1.5 and has been weak in context of obamacare ruling; funds are chasing PFE like a tech stock and the PE is increasing and yield dropping
    alot of yield chasing today
    17 Jul 2012, 03:41 PM Reply Like
  • wiesemc
    , contributor
    Comments (565) | Send Message
     
    UNH has been raising their dividend for a few years now. Buy on the dips and you'll be rewarded long-term.
    17 Jul 2012, 09:21 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs