8 Low-Debt Dividend Stocks With Strong Profitability
By Kapitall:Do you like to be able to rely on a stock's dividend income? If so, be sure to check that the company's profitability is healthy enough to continue paying their dividend into the future. With this idea in mind, we ran a screen on stocks paying dividend yields above 2% and sustainable payout ratios below 50% for those with low-debt, indicated by total debt/equity ratios below 0.30. We then screened these names for those with strong profitability compared to industry peers, with higher gross, operating, and pretax margins than their industry averages by at least 5% on each margin. This indicates that these companies are taking a greater percentage of their revenues as profits, and they also have stronger control over their cost structures.
Interactive Chart: Press Play to compare changes in market cap over the last two years for the top six stocks mentioned below. Analyst ratings sourced fromComplete Story »