Latest Stock Advice
Gen Digital Inc. is trading quite cheaply for a firm that just grew revenue nearly 26% while providing plenty of cash flow for innovation, dividends and buybacks.
H.B. Fuller Company’s consistent dividend growth and rising earnings offer a sound total‑return profile versus many industrial and chemical peers.
Top pick North West Company offers a 3.1% yield as a defensive retailer with entrenched remote markets.
Twilio Inc. adds AI capabilities to stay ahead of rivals and win more strategic multi-year partnerships.
Become a Successful Investor
Knowing when to buy dividend stocks to get the dividend involves understanding the declaration date, the payable date, and more
To profit from growth stocks, you need to pick stocks with clear growth prospects and not simply momentum stocks with uncertain futures
SNAP-ON INC. $163 (New York symbol SNA; Conservative Growth and Income Portfolios, Manufacturing & Industry sector; Shares outstanding: 58.2 million; Market cap: $9.5 billion; Price-to-sales ratio: 2.6; Dividend yield: 1.5%; TSINetwork Rating: Average; www.snapon.com) makes tools for auto mechanics and sells them through a fleet of franchised vans that visit garages. It also makes specialized tools for industrial customers. In the three months ended April 2, 2016, the company’s revenue gained 0.8%, to $834.2 million from $827.8 million a year earlier. But excluding exchange rates and acquisitions, sales gained 2.5%. Thanks to an ongoing efficiency plan, earnings per share rose 15.5%, to $2.16 from $1.87. The stock trades at 18.3 times the $8.93 a share that Snap-On will likely earn this year. That’s a somewhat high multiple for a company that relies on the cyclical automotive industry for 60% of its earnings....
MCCORMICK & CO. INC. $93 (New York symbol MKC; Income Portfolio, Consumer sector; Shares outstanding: 115.3 million; Market cap: $10.7 billion; Price-to-sales ratio: 2.8; Dividend yield: 1.8%; TSINetwork Rating: Average; www.mccormick.com) has paid $114 million for Botanical Food Co. Based in Australia, this firm makes packaged herbs under the Gourmet Garden brand. It sells these products mainly in Australia and North America. The purchase complements McCormick’s existing spice products. It will also add $53 million to its annual sales of $4.3 billion. The stock now trades at 24.9 times the $3.73 a share that the company will likely earn in its current fiscal year. That’s a high multiple in light of McCormick’s growth-by-acquisition strategy and currency risk....
In 2012, Procter & Gamble began a major restructuring that included selling dozens of its less-important brands, closing plants and cutting jobs. The company expects to finish the plan in the next few months. Those efforts will greatly improve Procter’s long-term profitability, and spur its stock price. Higher earnings will also give it more room to buy back shares and hike dividends. PROCTER & GAMBLE CO. $80 (New York symbol PG; Conservative Growth Portfolio, Consumer sector; Shares outstanding: 2.7 billion; Market cap: $216.0 billion; Price-to-sales ratio: 3.0; Dividend yield: 3.4%; TSINetwork Rating: Above Average; www.pg.com) is one of the world’s largest makers of household and personal care goods. It began operating in the U.S. in 1837, and now sells its products in over 180 countries. Overseas markets account for 60% of its total sales....
TUPPERWARE BRANDS CORP. $60 (New York symbol TUP; Conservative Growth and Income Portfolios, Consumer sector; Shares outstanding: 50.5 million; Market cap: $3.0 billion; Priceto- sales ratio: 1.3; Dividend yield: 4.5%; TSINetwork Rating: Above Average; www.tupperwarebrands.com) makes plastic food and beverage containers, as well as cosmetics and fragrances. In the three months ended March 26, 2016, Tupperware’s sales fell 9.6%, to $525.7 million from $581.8 million a year earlier. Earnings per share also fell 10.8%, to $0.91 from $1.02. Overseas markets supplied 75% of the company’s sales; without exchange rates, sales rose 1% and earnings per share gained 10%. Due to lower raw material costs, Tupperware raised its 2016 earnings forecast to $4.28 to $4.38 a share, excluding exchange rates. That’s up from its earlier range of $3.81 to $3.91. The stock trades at a reasonable 13.9 times the midpoint of its new range....