- Published: 22 September 2013
- Written by Tom Roberts
Cheap large capitalized stocks with high growth originally published at "long-term-investments.blogspot.com. Cheap stocks, bargains or undervalued companies can promise you good returns if you believe that they receive a better valuation within the next months or years. It's very difficult to discover those stocks because of the hundreds of thousands technical and fundamental measures.
I often used my static ratios like earnings multiples or book ratios to identify cheaply valuated stocks. Today I like to change my recent criteria about cheapest dividend paying large caps a little bit. I tighten the restriction Price-To-Sales to a value of less than one and look at forward P/E's. In the past, I've looked at current earnings multiples.
These are the new criteria for my cheapest dividend paying large cap screen:
- Market Capitalization over USD 10 billion
- Expected Earnings per share growth over 10 percent for the next five years
- Forward P/E ratio under 15
- P/S under 1 and P/B ratio under 2
- Positive Dividends
The number of my results rose. Eighteen stocks fulfilled these criteria of which one pays a high yield of more than five percent. Nearly all, fourteen in total, got a buy or better rating by brokerage firms.
Here is the full table with some fundamentals:
Cheapest Dividend Paying Large Caps As Of September 2013...
Take a look at the full list of cheap large capitalized stocks with highest expected earnings per share growth. The average P/E ratio amounts to 16.77 while the forward P/E ratio is 9.94. P/S ratio is 0.52 and P/B ratio 1.22. The expected earnings growth for next year amounts to 16.01 and 22.13 percent for the upcoming five years.
Related stock ticker symbols:
HMC, MT, ORAN, PTR, SNP, HNP, TI, MPC, PRU, MUR, CHA, WLP, CVS, BG, AET, LUV, TM, GGB
Selected Articles:
· 17 Low-Priced Dividend Achievers With Low P/S Ratios
· 13 Cheap Stocks With Dividend Yields Over 3% And A Predictable Business
· 8 Predictable Dividend Stocks At Historical Book-Value Lows