5 Low-Leveraged High-Yield Stocks from the S&P 500

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Jan 25, 2012
Here is a current screen of stocks from the Standard & Poor’s 500 Index with a dividend yield of more than 5 percent (high yield) as well as a total debt to equity ratio of less than one. The S&P 500 serves 19 stocks with such a high yield. Only five have more equity than debt; three of them are recommended with a buy rating.


Here are the best yielding stocks:



1. AT&T (T, Financial)
has a market capitalization of $178.31 billion. The company employs 256,210 people, generates revenues of $124,280.00 million and has a net income of $19,400.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $38,952.00 million. Because of these figures, the EBITDA margin is 31.34 percent (operating margin 15.75 percent and the net profit margin finally 15.61 percent).


The total debt representing 24.64 percent of the company’s assets and the total debt in relation to the equity amounts to 59.26 percent. Due to the financial situation, a return on equity of 17.90 percent was realized. Twelve-trailing months' earnings per share reached a value of $1.97. Last fiscal year, the company paid $1.69 in the form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 15.27, Price/Sales 1.43 and Price/Book ratio 1.59. Dividend Yield: 5.85 percent. The beta ratio is 0.59.


2. Reynolds American (RAI, Financial) has a market capitalization of $23.15 billion. The company employs 5,700 people, generates revenues of $8,551.00 million and has a net income of $1,329.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,570.00 million. Because of these figures, the EBITDA margin is 30.05 percent (operating margin 28.29 percent and the net profit margin finally 15.54 percent).


The total debt representing 24.01 percent of the company’s assets and the total debt in relation to the equity amounts to 63.00 percent. Due to the financial situation, a return on equity of 20.43 percent was realized. Twelve trailing months earnings per share reached a value of $2.28. Last fiscal year, the company paid $1.84 in form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 17.45, Price/Sales 2.76 and Price/Book ratio 3.63. Dividend Yield: 5.53 percent. The beta ratio is 0.58.


3. Integrys Energy Group (TEG, Financial) has a market capitalization of $4.02 billion. The company employs 4,612 people, generates revenues of $5,203.20 million and has a net income of $223.50 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $693.90 million. Because of these figures, the EBITDA margin is 13.34 percent (operating margin 8.23 percent and the net profit margin finally 4.30 percent).


The total debt representing 26.98 percent of the company’s assets and the total debt in relation to the equity amounts to 89.57 percent. Due to the financial situation, a return on equity of 7.67 percent was realized. Twelve trailing months earnings per share reached a value of $3.32. Last fiscal year, the company paid $2.72 in form of dividends to shareholders.


Here are the price ratios of the company: The P/E ratio is 15.48, Price/Sales 0.77 and Price/Book ratio 1.37. Dividend Yield: 5.30 percent. The beta ratio is 0.84.


Take a closer look at the full table with more fundamentals of low debt S&P 500 stocks. The average price to earnings ratio (P/E ratio) amounts to 13.78 while the forward price to earnings ratio is 13.10. The dividend yield has a value of 5.19 percent. Price to book ratio is 1.98 and price to sales ratio 1.30. The operating margin amounts to 18.82 percent.


Related stock ticker symbols:

T, RAI, TEG, FII, AEE


Selected Articles:

· 14 Cheap High Yield Mid Capitalized Stocks

· 8 Cheap High Yield Stocks With Buy Or Better Recommendation

· 9 High Yield Stocks With Highest Earnings Growth

· S&P 500 High Yield Stocks With Low Forward P/E Ratios

· 12 Stocks With Very High Yields (10+ Percent) And Additional Growth Potential