Most investors look for undervalued stocks. They like to buy below the intrinsic value, wait and sell when the market carries the stock far above core price.
Dividend stocks often fall off the radars of investors looking for total returns but dividend paying stocks greatly outperformed non-dividend paying stocks from the period from 1972 through 2013.
Sure, Dividend Stocks are not a one-way ticket for success. There are also many companies that have underperformed the market in recent years, remember Avon Products.
Dividend paying stocks have been a better investment than non-dividend paying stocks over the past 40 years. Investing in those stocks is not the only strategy that has a long history of outperformance.
Below are 10 stock ideas for investors who look for undervalued stocks with growth perspectives and dividends.
The most underestimated stock are...
Exxon Mobil (NYSE:XOM) has a market capitalization of $395.93 billion. The company employs 75,000 people, generates revenue of $420,836.00 million and has a net income of $33,448.00 million.
The most underestimated stock are...
Exxon Mobil (NYSE:XOM) has a market capitalization of $395.93 billion. The company employs 75,000 people, generates revenue of $420,836.00 million and has a net income of $33,448.00 million.
Exxon Mobil’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $57,483.00 million. The EBITDA margin is 13.66 percent (the operating margin is 9.58 percent and the net profit margin 7.95 percent).
Financials: The total debt represents 6.55 percent of Exxon Mobil’s assets and the total debt in relation to the equity amounts to 13.05 percent. Due to the financial situation, a return on equity of 19.17 percent was realized by Exxon Mobil.
Twelve trailing months earnings per share reached a value of $7.95. Last fiscal year, Exxon Mobil paid $2.46 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.74, the P/S ratio is 0.94 and the P/B ratio is finally 2.33. The dividend yield amounts to 2.96 percent and the beta ratio has a value of 0.90.
Long-Term Stock Price Chart Of Exxon Mobil (XOM) |
Long-Term Dividend Payment History of Exxon Mobil (XOM) |
Long-Term Dividend Yield History of Exxon Mobil (XOM) |
Chevron’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $41,912.00 million. The EBITDA margin is 19.03 percent (the operating margin is 12.59 percent and the net profit margin 9.81 percent).
Financials: The total debt represents 8.05 percent of Chevron’s assets and the total debt in relation to the equity amounts to 13.70 percent. Due to the financial situation, a return on equity of 15.00 percent was realized by Chevron.
Twelve trailing months earnings per share reached a value of $10.86. Last fiscal year, Chevron paid $3.90 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.31, the P/S ratio is 0.96 and the P/B ratio is finally 1.44. The dividend yield amounts to 3.82 percent and the beta ratio has a value of 1.15.
Long-Term Stock Price Chart Of Chevron (CVX) |
Long-Term Dividend Payment History of Chevron (CVX) |
Long-Term Dividend Yield History of Chevron (CVX) |
AT&T (NYSE:T) has a market capitalization of $173.92 billion. The company employs 247,700 people, generates revenue of $128,752.00 million and has a net income of $18,553.00 million.
AT&T’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $48,873.00 million. The EBITDA margin is 37.96 percent (the operating margin is 23.67 percent and the net profit margin 14.41 percent).
Financials: The total debt represents 26.92 percent of AT&T’s assets and the total debt in relation to the equity amounts to 82.20 percent. Due to the financial situation, a return on equity of 19.91 percent was realized by AT&T.
Twelve trailing months earnings per share reached a value of $3.26. Last fiscal year, AT&T paid $1.80 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.37, the P/S ratio is 1.36 and the P/B ratio is finally 1.94. The dividend yield amounts to 5.55 percent and the beta ratio has a value of 0.40.
Long-Term Stock Price Chart Of AT&T (T) |
Long-Term Dividend Payment History of AT&T (T) |
Long-Term Dividend Yield History of AT&T (T) |
AT&T (NYSE:T) has a market capitalization of $173.92 billion. The company employs 247,700 people, generates revenue of $128,752.00 million and has a net income of $18,553.00 million.
AT&T’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $48,873.00 million. The EBITDA margin is 37.96 percent (the operating margin is 23.67 percent and the net profit margin 14.41 percent).
Financials: The total debt represents 26.92 percent of AT&T’s assets and the total debt in relation to the equity amounts to 82.20 percent. Due to the financial situation, a return on equity of 19.91 percent was realized by AT&T.
Twelve trailing months earnings per share reached a value of $3.26. Last fiscal year, AT&T paid $1.80 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.37, the P/S ratio is 1.36 and the P/B ratio is finally 1.94. The dividend yield amounts to 5.55 percent and the beta ratio has a value of 0.40.
Long-Term Stock Price Chart Of AT&T (T) |
Long-Term Dividend Payment History of AT&T (T) |
Long-Term Dividend Yield History of AT&T (T) |
McDonald's Corporation (NYSE:MCD) has a market capitalization of $90.78 billion. The company employs 440,000 people, generates revenue of $28,105.70 million and has a net income of $5,585.90 million.
McDonald's Corporation’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $10,080.40 million. The EBITDA margin is 35.87 percent (the operating margin is 31.18 percent and the net profit margin 19.87 percent).
Financials: The total debt represents 38.58 percent of McDonald's Corporation’s assets and the total debt in relation to the equity amounts to 88.26 percent. Due to the financial situation, a return on equity of 35.69 percent was realized by McDonald's Corporation.
Twelve trailing months earnings per share reached a value of $5.09. Last fiscal year, McDonald's Corporation paid $3.12 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 18.45, the P/S ratio is 3.25 and the P/B ratio is finally 5.81. The dividend yield amounts to 3.62 percent and the beta ratio has a value of 0.34.
Long-Term Stock Price Chart Of McDonald's Corporation (MCD) |
Long-Term Dividend Payment History of McDonald's Corporation (MCD) |
Long-Term Dividend Yield History of McDonald's Corporation (MCD) |
ConocoPhillips (NYSE:COP) has a market capitalization of $87.52 billion. The company employs 19,000 people, generates revenue of $56,185.00 million and has a net income of $8,037.00 million.
ConocoPhillips’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $20,761.00 million. The EBITDA margin is 36.95 percent (the operating margin is 22.78 percent and the net profit margin 14.30 percent).
Financials: The total debt represents 18.35 percent of ConocoPhillips’s assets and the total debt in relation to the equity amounts to 41.59 percent. Due to the financial situation, a return on equity of 15.94 percent was realized by ConocoPhillips.
Twelve trailing months earnings per share reached a value of $5.84. Last fiscal year, ConocoPhillips paid $2.70 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.90, the P/S ratio is 1.52 and the P/B ratio is finally 1.64. The dividend yield amounts to 4.20 percent and the beta ratio has a value of 1.07.
Long-Term Stock Price Chart Of ConocoPhillips (COP) |
Long-Term Dividend Payment History of ConocoPhillips (COP) |
Long-Term Dividend Yield History of ConocoPhillips (COP) |
Caterpillar (NYSE:CAT) has a market capitalization of $55.58 billion. The company employs 116,579 people, generates revenue of $55,656.00 million and has a net income of $3,809.00 million.
Caterpillar’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $8,914.00 million. The EBITDA margin is 16.02 percent (the operating margin is 10.11 percent and the net profit margin 6.84 percent).
Financials: The total debt represents 44.47 percent of Caterpillar’s assets and the total debt in relation to the equity amounts to 181.39 percent. Due to the financial situation, a return on equity of 19.76 percent was realized by Caterpillar.
Twelve trailing months earnings per share reached a value of $6.18. Last fiscal year, Caterpillar paid $2.32 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 14.93, the P/S ratio is 1.00 and the P/B ratio is finally 2.83. The dividend yield amounts to 3.03 percent and the beta ratio has a value of 1.66.
Long-Term Stock Price Chart Of Caterpillar (CAT) |
Long-Term Dividend Payment History of Caterpillar (CAT) |
Long-Term Dividend Yield History of Caterpillar (CAT) |
AFLAC (NYSE:AFL) has a market capitalization of $27.61 billion. The company employs 8,859 people, generates revenue of $24,138.00 million and has a net income of $3,158.00 million.
AFLAC’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $6,451.00 million. The EBITDA margin is 26.73 percent (the operating margin is 21.17 percent and the net profit margin 13.08 percent).
Financials: The total debt represents 4.04 percent of AFLAC’s assets and the total debt in relation to the equity amounts to 33.50 percent. Due to the financial situation, a return on equity of 20.64 percent was realized by AFLAC.
Twelve trailing months earnings per share reached a value of $6.38. Last fiscal year, AFLAC paid $1.42 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 9.66, the P/S ratio is 1.15 and the P/B ratio is finally 1.94. The dividend yield amounts to 2.53 percent and the beta ratio has a value of 1.52.
Long-Term Stock Price Chart Of AFLAC (AFL) |
Long-Term Dividend Payment History of AFLAC (AFL) |
Long-Term Dividend Yield History of AFLAC (AFL) |
Helmerich & Payne (NYSE:HP) has a market capitalization of $7.78 billion. The company employs 11,901 people, generates revenue of $3,719.71 million and has a net income of $708.77 million.
Helmerich & Payne’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,558.75 million. The EBITDA margin is 41.91 percent (the operating margin is 28.36 percent and the net profit margin 19.05 percent).
Financials: The total debt represents 1.19 percent of Helmerich & Payne’s assets and the total debt in relation to the equity amounts to 1.64 percent. Due to the financial situation, a return on equity of 15.10 percent was realized by Helmerich & Payne.
Twelve trailing months earnings per share reached a value of $6.45. Last fiscal year, Helmerich & Payne paid $2.62 in the form of dividends to shareholders.
Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.84, the P/S ratio is 2.04 and the P/B ratio is finally 1.55. The dividend yield amounts to 3.93 percent and the beta ratio has a value of 1.35.
Long-Term Stock Price Chart Of Helmerich & Payne (HP) |
Long-Term Dividend Payment History of Helmerich & Payne (HP) |
Long-Term Dividend Yield History of Helmerich & Payne (HP) |
*I am long MCD, T. I receive no compensation to write about these specific stocks, sector or theme. I don't plan to increase or decrease positions or obligations within the next 72 hours.
For the other stocks: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I receive no compensation to write about any specific stock, sector or theme.
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