Stocks With High Yields, Low Debt And Low Dividend Payout Ratio Researched By Dividend Yield - Stock, Capital, Investment. Stocks with high yields are sometimes risky because they pay dividends in a not sustainable way. A necessary requirement to reduce risks of dividend cuts is the fundamental basis; the company should have low payout ratios and low debt ratios.
In order to find the best high yield stocks with low debt and payout ratios, I screened the market by stocks with a yield over five percent, a debt to equity ratio of less than 0.3 and a payout ratio below 50 percent. Six companies fulfilled these criteria of which two are recommended to buy.
Here is the full table with some fundamentals (NYSE:TTM):
Take a closer look at the full table. The average price to earnings ratio (P/E ratio) amounts to 7.00. The dividend yield has a value of 6.87 percent. Price to book ratio is 1.81 and price to sales ratio 1.44. The operating margin amounts to 26.83 percent.
Related stock ticker symbols:
AT, USMO, PSE, DEER, CRWS, HCII