Monday, June 9, 2014

Dividend CCC Review: May 2014

Getting back on track with my screens at the beginning of the month. Change things up this month as usual. I feel its important to change the screen slightly or you'll keep getting the same ones and not many new ones

Dividend Score: Yield, 5 year dividend growth rate, and Payout Ratio
Fundamental Score: P/E, Graham Valuation, and the % below the 200 day simple moving average (SMA)
My thought is this time around I'd see if I couldn't buy something on a nice pullback.

Name Symbol Industry Div Fund Score
Horace Mann Educators  HMN Insurance 5 4 9
ACE Limited ACE Insurance 3 4 7
PennyMac Mort Inv Tr PMT REIT-Residential 2 5 7
Western Union Co WU Financial Services 5 1 6
BOK Financial Corp. BOKF Banking 4 2 6
BHP Billiton plc BBL Mining/Oil&Gas 4 2 6
Chevron Corp. CVX Oil & Gas 4 2 6
Textainer Group Hold TGH Transportation 4 2 6
Rent-A-Center Inc. RCII Retail-Specialty 2 4 6
SeaDrill Limited SDRL Oil&Gas Drilling 2 4 6
Monarch Fin Hold Inc. MNRK Banking 2 4 6
Bar Harbor Bankshares BHB Banking 2 4 6
Hanover Insnce Group THG Insurance 2 4 6
Old Republic Internati ORI Insurance 2 4 6
Travelers Companies TRV Insurance 2 4 6
Principal Financial Gr PFG Financial Services 4 1 5
Frisch's Restaurants Inc. FRS Restaurants 3 2 5
TAL Int Group Inc. TAL Rental/Leasing Services 2 3 5
PartnerRe Limited PRE Insurance 2 3 5
Territorial Bancorp TBNK Banking 1 4 5
Triangle Capital Corp. TCAP BDC-Financial Services 1 4 5

Companies quick to cross off...
ACE: Previously crossed off
PMT: Previously crossed off
WU: Previously crossed off
BBL: Previously crossed off
TGH: Previously crossed off
RCII: Previously crossed off
SDRL: Previously crossed off
THG: Previously crossed off
TRV: Previously crossed off
PFG: Previously crossed off
TAL: Previously crossed off
PRE: Previously crossed off
TCAP: Previously crossed off

New companies for possible review...
HMN: Horace Mann Educators Corp: Thought it would be something with education but its a holding company for insurance companies. I'm long AFL and AFSI, I need another like I need another goldbug telling me the stock market is going to crash.

BOKF: BOK Financial Corp: A holding company of small regional banks covering 8 states. Fastgraph's is showing they are down EPS for the past two years and they are now at fairvalue. Think this one falls under the too late category.

MNRK: Monarch FInancial Holdings: A regional bank of Virginia. I didn't recognize them so wanted to take a peak. Not sure what happened in 2013 share price wise but I want none of that.

BHB: Bar Harbor Bankshares: A holding company of banks. Fastgraphs shows that the share price really hugs the historic P/E of 7.6 which its at now. This really doesn't increase in share price and a 5% dividend growth rate and 5% EPS growth rate means thats all I will get. I want my potential to be more than that.

ORI: Old Republic International: An insurance holding company. This is one of the scariest Fastgraph's I have seen. Overvalued, dropping EPS currently, and it goes to 0 EPS for 4 straight years.

FRS: Frisch's Restaurants: A restaurant chain of "Frisch's Big Boy". About 110 or so locations. They had a huge dividend in 2012 but nothing really gets me excited about this one.

TBNK: Territorial Bancorp Inc: A holding company for a Hawaii regional bank. What is it with holding companies this month? Its share price has dropped this year on expected lower EPS. I want a pullback with increased EPS as safety I don't want to gamble on something silly happening to go against bad fundamentals.

This month's research screen winner...
CVX: Chevron: So almost every month this comes up and I write it off because I already own COP. But I have a 60% total return with COP. Seeing as how COP currently has a -1, its time I look to rotate out. Usually my pick of the month looks really good or is some exotic off the wall stock I have never heard of. CVX is probably about as big a company as I am going to find on my monthly screen. I'm concerned that its above its historic P/E level but its not dangerously high. I will research them to keep as a backup.

I have a stop loss order with COP to exit when it goes against me. It's really taken off and its dividend yield is now equal to CVX while giving up a lot of fundamental safety in the price.

For you capital gains investors who like to buy on the dips, here are the companies that are 5% or more below their 200 day SMA
Name Symbol Industry Div Fund Score
Rent-A-Center Inc. RCII Retail-Specialty 2 4 6
Marketing Alliance Inc. MAAL Insurance 2 2 4
Sturm Ruger & Co RGR Firearms 3 1 4
Coach Inc. COH Apparel 2 1 3
Best Buy Corp. BBY Retail-Electronic 1 2 3
Nu Skin Enterprises Inc. NUS Personal Products 1 1 2
TESSCO Technologies TESS Technology-Hardware 1 1 2
Family Dollar Stores FDO Retail-Discount 3 -1 2
Armanino Foods of Dist AMNF Food Processing 3 -1 2
PetSmart Inc. PETM Retail-Specialty 0 1 1
Target Corp. TGT Retail-Discount 3 -2 1
Brady Corp. BRC Business Services 0 1 1
Infinity Property & Cas IPCC Insurance 1 0 1
Core Laboratories NV CLB Oil&Gas Equip/Svcs 2 -2 0
Stepan Company SCL Cleaning Products 0 0 0
TJX Companies Inc. TJX Retail-Apparel 1 -1 0
PetMed Express Inc. PETS Drugs-Animal 0 0 0
Ralph Lauren Corp. RL Apparel 1 -1 0

Disclaimer: The investments and trades discussed are not recommendations for others. I am not a financial planner, financial adviser, accountant, or tax adviser. The financial actions I talk about are for my own portfolio and money and only suited for my own risk tolerance, strategy, and ideas. Copying another person's financial moves can lead to large losses. Each person needs to do their due diligence in researching and planning their own actions in the financial markets.

1 comment:

  1. Thanks for sharing this ranking method with us. I also like CVX and it has been on my watch list for some time now. I know it has a decent value especially in these high markets and an excellent dividend history. I think I might wait it out a bit before entering that one.