10/09/2012

12 Dividend Contenders Below Book Value To Consider

Cheap Dividend Contenders In Terms Of Reproduction Value Researched By “long-term-investments.blogspot.com”. Dividend Contenders are stocks with a history of rising dividends of more than 10 years in a row but less than 25. Exactly 178 companies fulfilled these growth criteria but many are highly priced.

In order to find some opportunities, I screened all Dividend Contenders with a very low price to book ratio. Especially in times of heavy crises, the reproduction value or the market value of properties, machines and equipments is an award lowmark for investors. If the price of the whole company falls below the value of the equity, you should get real bargains from the value site. 12 Dividend Contenders have a current P/B ratio of less than one. Two of them are high-yields and eight are recommended to buy.



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Nippon Telegraph & Telephone (NYSE:NTT) has a market capitalization of $60.31 billion. The company employs 224,239 people, generates revenue of $134,159.40 million and has a net income of $8,318.91 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $46,222.89 million. The EBITDA margin is 34.45 percent (operating margin 11.64 percent and net profit margin 6.20 percent).

Financial Analysis: The total debt represents 22.21 percent of the company’s assets and the total debt in relation to the equity amounts to 54.63 percent. Due to the financial situation, a return on equity of 5.88 percent was realized. Twelve trailing months earnings per share reached a value of $2.32. Last fiscal year, the company paid $0.89 in form of dividends to shareholders. The company raised dividend for 10 consecutive years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 10.61, P/S ratio 0.49 and P/B ratio 0.60. Dividend Yield: 3.61 percent. The beta ratio is 0.36.


Long-Term Stock History Chart Of Nippon Telegraph & Telephone (Click to enlarge)
Long-Term Dividends History of Nippon Telegraph & Telephone (NTT) (Click to enlarge)
Long-Term Dividend Yield History of Nippon Telegraph & Telephone (NYSE: NTT) (Click to enlarge)

BHP Billiton (NYSE:BHP) has a market capitalization of $109.45 billion. The company employs 46,370 people, generates revenue of $72,226.00 million and has a net income of $15,532.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $29,475.00 million. The EBITDA margin is 40.81 percent (operating margin 32.89 percent and net profit margin 21.50 percent).

Financial Analysis: The total debt represents 21.91 percent of the company’s assets and the total debt in relation to the equity amounts to 43.01 percent. Due to the financial situation, a return on equity of 25.14 percent was realized. Twelve trailing months earnings per share reached a value of $5.77. Last fiscal year, the company paid $2.24 in form of dividends to shareholders. The company raised dividend for 10 consecutive years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.82, P/S ratio 2.41 and P/B ratio 1.66. Dividend Yield: 3.29 percent. The beta ratio is 1.51.


Long-Term Stock History Chart Of BHP Billiton (Click to enlarge)
Long-Term Dividends History of BHP Billiton (BHP) (Click to enlarge)
Long-Term Dividend Yield History of BHP Billiton (NYSE: BHP) (Click to enlarge)

Bunge Limited (NYSE:BG) has a market capitalization of $10.07 billion. The company employs 35,000 people, generates revenue of $58,743.00 million and has a net income of $896.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $1,685.00 million. The EBITDA margin is 2.87 percent (operating margin 1.60 percent and net profit margin 1.53 percent).

Financial Analysis: The total debt represents 17.53 percent of the company’s assets and the total debt in relation to the equity amounts to 34.86 percent. Due to the financial situation, a return on equity of 8.05 percent was realized. Twelve trailing months earnings per share reached a value of $4.77. Last fiscal year, the company paid $0.98 in form of dividends to shareholders. The company raised dividend for 11 consecutive years.

Market Valuation: Here are the price ratios of the company: The P/E ratio is 14.44, P/S ratio 0.17 and P/B ratio 0.91. Dividend Yield: 1.57 percent. The beta ratio is 1.19.


Long-Term Stock History Chart Of Bunge Limited (Click to enlarge)
Long-Term Dividends History of Bunge Limited (BG) (Click to enlarge)
Long-Term Dividend Yield History of Bunge Limited (NYSE: BG) (Click to enlarge)


Take a closer look at the full table of Dividend Contenders below book value. The average price to earnings ratio (P/E ratio) amounts to 12.16 and forward P/E ratio is 10.81. The dividend yield has a value of 3.31 percent. Price to book ratio is 0.81 and price to sales ratio 1.63. The operating margin amounts to 19.39 percent and the beta ratio is 0.84. The average stock has a debt to equity ratio of 0.28.

Here is the full table with some fundamentals (TTM):

Dividend Contenders Below Book Value (Click to enlarge)

Related stock ticker symbols:
JCS, PBCT, LARK, BBL, PRE, RBCAA, SFG, EBMT, AXS, ALTE, NTT, BG

Selected Articles:

* 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.

1 comment:

  1. Rick H.11/09/2012

    A company’s book value is derived by summing up all of its assets and subtracting all its liabilities. This is, arguably, what would be left after a total liquidation of the company. Some investors focus on book value when investing because it is an accounting look at what one is buying without the bias of investor sentiment. To this end, it is as close as one can get to a pure picture of what a company is worth, keeping in mind, of course, that accounting isn’t exactly a pure science.

    Generally speaking, a stock trading near or below book value is of the most interest, since such a company can be bought for close to or, better yet, less than what it is “worth” — at least by one measure. Clearly, investors looking at this largely value-oriented metric prefer buying a dollar of assets for less than a dollar.

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