6 High-Dividend-Growth Healthcare Stocks With Low Turnover, Beta, And Payout Ratios

By Jeff Paul:I recently published two research-based articles on high-yield, low-payout stocks outperforming the overall market. One interesting idea from this research came from Robert Ibbotson, a Yale finance professor. He found that illiquid stocks tended to outperform more liquid stocks (Source: Jackass Investing by Michael Dever). He offered three explanations for this:

By Jeff Paul:I recently published two research-based articles on high-yield, low-payout stocks outperforming the overall market. One interesting idea from this research came from Robert Ibbotson, a Yale finance professor. He found that illiquid stocks tended to outperform more liquid stocks (Source: Jackass Investing by Michael Dever). He offered three explanations for this:

By Kapitall:Do you prefer stocks that pay regular and reliable dividends? If so, here's a look at some interesting high-growth dividend names. We began by screening for dividend stocks: those paying dividend yields above 2% and sustainable payout ratios below 50%. We then screened for those with high-growth trends, with five-year projected EPS growth above 15%.

By Jeff Paul:This is the February 2013 update on four of my research-based Dividend Growth Model Portfolios. The Dividend Aristocrat+ portfolio focuses mostly on stocks with 25-year+ histories of dividend increases and equally weights sectors.

By Kapitall:Do you prefer stocks that pay reliable dividend income? For ideas on how to start your own dividend stock search, we ran a screen.We began by screening the S&P 500 for stocks paying dividend yields above 1%. We then screened for high volume trading activity. Specifically, the current volume to 3 month average volume ratio is above 1.5. High volume indicates many investors are paying close attention to these names.

By Kapitall:Do you prefer stocks that pay part of their returns in dividends? We ran a screen on dividend stocks that you might be interested in.We began by screening for highly liquid dividend stocks: those paying dividend yields above 2%, sustainable payout ratios below 50%, and those with current ratios above 3. The current ratio is current assets/current liabilities, so ratios above 3 indicate the company has at least 3 times the liquid assets to cover their short-term liabilities.

By Richard Shaw (QVM Group): Credit Suisse published interesting research in 2009 on the superior performance characteristics of high yield, low payout ratio stocks.

By Insider Monkey: Mid-cap stocks tend to pay higher dividend yields than their larger counterparts, but a high yield isn’t everything. After all, there is no guarantee that the dividend will be there tomorrow. There are better odds of the dividend continuing or even increasing if the company has a low payout ratio and strong EPS growth.