Over the last three months, the S&P 500 has fallen roughly 9.6%, yet some stocks have managed to buck the trend and move higher. We wanted to analyze these stocks by running DuPont analysis on their sources of profitability, as measured by return on equity. Analyzing the sources of returns for a company, we can focus on companies with the following characteristics:
Increasing ROE along with, Decreasing leverage, i.e. decreasing Asset/Equity ratio and Improving asset use efficiency (i.e. increasing Sales/Assets ratio) and improving net profit margin (i.e. increasing Net Income/Sales ratio). Companies passing all requirements are thus experiencing increasing profits due to operations and not to increased use of leverage.
Source: Seeking Alpha
Related Articles:
- There's Gold In Them Thar Dividend Stocks
- 6 Tech Stocks With A History of Growing Their Dividends
- Buy And Hold Is Not Buy And Forget
- 6 Higher-Yielding Consumer Stocks With A History of Rising Dividends
- 9 Dividend Stocks With A Low P/B Ratio
Outperforming Dividend Stocks
Posted by D4L | Tuesday, October 25, 2011 | ArticleLinks | 0 comments »________________________________________________________________
Subscribe to:
Post Comments (Atom)
Dividend Growth Stocks News
~
Popular Posts Last 30 Days
-
If you're worried about inflation rearing its ugly head next year, you should probably worry about more likely catastrophes, such as bei...
-
As a relatively new blogger, the one thing that has stood out in my mind is the number of Canadian bloggers in the areas that I am most inte...
-
We screened our 24/7 Wall St. dividend equity research database and found 5 stocks that combined can generate over $3,000 of annual passive ...
-
The stock market has been on an upward path of late, with some of the most prominent stocks hitting astronomical highs. The dividend yield o...
-
Dividend growth stocks can be incredibly attractive investments if you crave recurring income. As these types of stocks raise their dividend...
-
Dividends can be a tremendously powerful part of your investing strategy. Not only can they give you a continuing source of cash to reinvest...
-
In my opinion, there are three criteria investors should consider when evaluating a particular stock for their portfolio. The first is histo...
-
The most dependable dividend stocks typically have a long track record of sustaining payouts through different market cycles. Companies with...
-
In this article, we discuss 5 best March dividend stocks to buy. If you want to read our detailed analysis of dividend capture strategy and ...
-
As the broader stock rally broadens to some of the more “boring” corners of the market, it’s the higher-yielding dividend plays that could s...
0 comments
Post a Comment
Post a Comment
Note: Only a member of this blog may post a comment.