Tuesday, July 17, 2012

Analysts Love These 3 Profitable Dividend Stocks


Are you a dividend investor searching for stocks with solid yields of 3% and greater? One great place to search is among those that can sustain their payouts due to strong sources of profitability, matched by analyst recommendation. Today we screened for stocks of this nature, focusing on stocks with 'Strong Buy' analyst ratings, and came up with a short but intriguing list.Return on Equity (ROE) is one way to identify great potential names relative to profitability. This ratio illustrates the percentage return on shareholder equity. Also, this metric segments the company into operational efficiency, asset use efficiency, and financial leverage. Why does this matter? Simply put, it allows investors to get a real picture of how the company is generating these returns and helps identify parts of the company that may be underperforming.Return on Assets (ROA) illustrates how much a company is generating in earnings from its
... Read the rest at SeekingAlpha.com

No comments:

Post a Comment