The Best Yielding Large Cap Services Stocks

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May 12, 2012
Large Capitalized Services Dividend Stocks With Highest Yield Researched By Dividend Yield - Stock, Capital, Investment. It’s very important to know what yields are traded within a sector or industry in order to compare risks and premiums. I made a screen of the best yielding large capitalized services stocks. 71 companies from the sector have a market capitalization over USD 10 billion and 56 of them pay dividends. As result, 30 stocks with a yield over 2 percent remained.


The best yielding stock is Paychex (PAYX, Financial). The company has a dividend yield of 4.28 percent and is followed by Sysco (SYY, Financial) who has a yield of 3.91 percent.



Here are my favorite stocks:


SYSCO Corporation ( (SYY) has a market capitalization of $16.17 billion. The company employs 46,000 people, generates revenues of $39,323.49 million and has a net income of $1,152.03 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $2,355.99 million. Because of these figures, the EBITDA margin is 5.99 percent (operating margin 4.91 percent and the net profit margin finally 2.93 percent).


Financial Analysis: The total debt representing 23.44 percent of the company’s assets and the total debt in relation to the equity amounts to 56.71 percent. Due to the financial situation, a return on equity of 27.00 percent was realized. Twelve trailing months earnings per share reached a value of $1.95. Last fiscal year, the company paid $1.03 in form of dividends to shareholders.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 14.18, P/S ratio 0.42 and P/B ratio 3.51. Dividend Yield: 3.87 percent. The beta ratio is 0.72.


McDonald's Corporation (MCD, Financial) has a market capitalization of $93.38 billion. The company employs 420,000 people, generates revenues of $27,006.00 million and has a net income of $5,503.10 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $9,766.70 million. Because of these figures, the EBITDA margin is 36.16 percent (operating margin 31.58 percent and the net profit margin finally 20.38 percent).


Financial Analysis: The total debt representing 37.89 percent of the company’s assets and the total debt in relation to the equity amounts to 86.87 percent. Due to the financial situation, a return on equity of 37.92 percent was realized. Twelve trailing months earnings per share reached a value of $5.35. Last fiscal year, the company paid $2.53 in form of dividends to shareholders.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 17.17, P/S ratio 3.46 and P/B ratio 6.52. Dividend Yield: 3.05 percent. The beta ratio is 0.43.


United Parcel Service (UPS, Financial) has a market capitalization of $73.33 billion. The company employs 398,000 people, generates revenues of $53,105.00 million and has a net income of $3,804.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $7,862.00 million. Because of these figures, the EBITDA margin is 14.80 percent (operating margin 11.45 percent and the net profit margin finally 7.16 percent).


Financial Analysis: The total debt representing 32.07 percent of the company’s assets and the total debt in relation to the equity amounts to 158.18 percent. Due to the financial situation, a return on equity of 50.67 percent was realized. Twelve trailing months earnings per share reached a value of $3.95. Last fiscal year, the company paid $2.08 in form of dividends to shareholders.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 19.34, P/S ratio 1.38 and P/B ratio 10.49. Dividend Yield: 2.98 percent. The beta ratio is 0.85.


Walgreen Company (WAG, Financial) has a market capitalization of $28.68 billion. The company employs 176,000 people, generates revenues of $72,184.00 million and has a net income of $2,714.00 million. The firm’s earnings before interest, taxes, depreciation and amortization (EBITDA) amounts to $5,393.00 million. Because of these figures, the EBITDA margin is 7.47 percent (operating margin 6.05 percent and the net profit margin finally 3.76 percent).


Financial Analysis: The total debt representing 8.77 percent of the company’s assets and the total debt in relation to the equity amounts to 16.23 percent. Due to the financial situation, a return on equity of 18.56 percent was realized. Twelve trailing months earnings per share reached a value of $2.93. Last fiscal year, the company paid $0.75 in form of dividends to shareholders.


Market Valuation: Here are the price ratios of the company: The P/E ratio is 11.34, P/S ratio 0.41 and P/B ratio 2.04. Dividend Yield: 2.64 percent. The beta ratio is 0.97.


Take a closer look at the full table of the best yielding large capitalized services stocks. The average price to earnings ratio (P/E ratio) amounts to 14.82 and forward P/E ratio is 12.54. The dividend yield has a value of 2.67 percent. Price to book ratio is 6.97 and price to sales ratio 1.34. The operating margin amounts to 15.52 percent.