Skip to main content

Two reasonable value stocks raising dividends this week

With the stock market in distress and bonds yielding practically nothing many analysts and bloggers are proposing that investors should focus on companies paying dividends.

For this post, I've combined my Reasonable Value screen with a filter for those companies that have raised their dividend in the last week. Two stocks below qualified and, coincidentally, both raised their dividends by $0.08

Symbol Name IndustryPE PEG Price  To Sales Price To Book EV To EBITDA Debt To Equity New Dividend Previous Dividend
AFL Aflac Inc. Accident & Health Insurance 12.52 0.65 1.2 2.28 7.75 0.2645 1.2 1.12
ALTE Alterra Capital Holdings Ltd. Property-Casualty Insurers 4.91 0.62 1.22 0.73 N/A 0.0992 0.48 0.40

So are investors favoring these two companies? Here are the charts for each:



Though both stocks have wilted lately, Aflac seems to be holding up a bit better. Both the 200-day moving average and the 50-day moving average are still heading upward for Aflac while it looks like ALTE is really rolling over despite beating earnings expectations.

At this point, Aflac's dividend yield is 2.2% and Alterra Capital's yield is 2.7%. Compare this to the yield on the 10-year Treasury bond which is currently at 2.61%.

Comments

Popular posts from this blog

Time to be conservative with your 401K

Most of the posts I and other financial bloggers write are typically focused on individual stocks or ETFs and managing active portfolios. For those folks who are more conservative investors, those whose main investment vehicle is a 401K, for example, the techniques for portfolio management might be a little different. The news of stock markets falling and pundits predicting recession is disconcerting to professional investors as well as to those of us who are watching our balances in an IRA or 401K sag. What approach should the average 401K investor take? Let's assume that the investor is contributing on a regular basis to one of these retirement accounts. There are two questions that the investor needs to ask: 1. Should I stop putting the regular contribution into stocks? My feeling is that investors making regular contributions are being handed a present by the markets. Every week the market goes down, these investors are lowering their average cost. When markets reco...

Trade Radar gets another update

Some of our data sources changed again and it impacted our ability to load fundamental/financial data. In response, we are rolling out a new version of the software: 7.1.24 The data sourcing issues are fixed and some dead links in the Chart menu were removed. So whether you are a registered user or someone engaged in the free trial, head over to our update page and download the latest version. The update page is here:   https://tradingstockalerts.com/software/downloadpatch Contact us if you have questions or identify any new issues.

Sprint - Why WiMAX?

I was somewhat surprised when I heard that Sprint Nextel ( S ) was building a separate network based on WiMAX technology. This is not a replacement for its 3G cell phone system but in addition to it. Why would they do such a thing given the scale, complexity and cost? Are they doing this in the hope that if they build it, they (customers) will come? So first of all, what is WiMAX and why is it significant? Technically speaking, it is a 4G wireless broadband network that uses the mobile WiMAX (Worldwide Interoperability for Microwave Access) IEEE 802.16e-2005 technology standard. Why is that good? Because you can get high-speed Internet access with it for devices ranging from phones to PCs and devices we haven't thought of yet. And in this case, WiMAX "high-speed" is significantly faster than typical Internet access via current mobile phone technology. It will be a real data network, not a data pipe bolted onto a telecommunications network. What could this lead to in the f...