The Best Dividend Stocks From Service Sector
Services Dividend Stocks With High Return On Investments And Big Operating Margins Researched By Dividend Yield - Stock, Capital, Investment. Service is characterized by hard work and low margins but there are some companies with wonderful business models that generate double digit margins within the service sector. I think about McDonalds or Starbucks. They created a huge shareholder value due to the global expansion of the brand and realized big economies of scale.
I screened the service sector by stocks with an operating margin and return on investment over 15 percent, a dividend yield over two percent and finally a market capitalization over USD 300 million. Thirteen companies fulfilled these criteria of which four are high yields and six are recommended to buy or better.
Here are the best services stocks:
Take a closer look at the full table. The average price to earnings ratio (P/E ratio) amounts to 15.09 and forward P/E ratio is 12.96. The dividend yield has a value of 4.17 percent. Price to book ratio is 8.33 and price to sales ratio 2.57. The operating margin amounts to 29.22 percent. Finally, the return on equity has a fantastic margin of 56.15 percent and the return on investment follows with a value of 26.80 percent.
Related stock ticker symbols:
ITRN, GA, NCMI, HRB, ENL, STRA, PAYX, RUK, MCD, IHG, WU, GES, MHP
Edited by DividendYield at 03/12/12 at 09:36 AM