There are a handful of companies that arguably define every generation of American consumer. For the current generation, it's undeniable that Costco (NASDAQ: COST ) fits this bill. But does that mean Costco stock is a buy? Not so fast.
The biggest problem with Costco as an investment isn't the company itself, but rather the price of its stock. Take the company's dividend yield. At 1%, it's less than half of the S&P 500's�2.12%. Not to mention the fact that both Wal-Mart�and Target�yield more than 2% as well.
Beyond this, Costco's price-to-earnings ratio -- which gauges how much an investor must pay for every dollar of earnings -- comes in at 23.7. Is that astronomical? No. Lululemon, for example, has a P/E ratio of 35, and many tech companies sport triple-digit multiples.
At the same time, however, the average stock on the S&P 500 trades for 18 times earnings, and both Wal-Mart and Target are valued at multiples between 15 and 16. Looked at it this way, Costco stock sells for a 32% premium over the broader market and a 53% premium over its closest brick-and-mortar competitors.
Best Dividend Companies For 2014: Potomac Electric Power Company(POM)
Pepco Holdings, Inc., through its subsidiaries, engages in the transmission, distribution, and supply of electricity. The company also distributes and supplies natural gas. It distributes electricity to approximately 1.8 million customers in the mid-Atlantic region and delivers natural gas to approximately 123,000 customers in Delaware. In addition, the company involves in the retail supply of electricity and natural gas; provision of energy efficiency services to federal, state, and local government customers; and designs, constructs, and operates combined heat and power and central energy plants, as well as owns and operates two oil-fired generation facilities. Further, it offers high voltage electric construction and maintenance services, low voltage electric construction and maintenance services, and streetlight construction and asset management services to utilities, municipalities, and other customers in the Washington, District of Columbia. Additionally, the company holds investments in eight cross-border energy leases. Pepco Holdings, Inc. was founded in 1896 and is based in Washington, District of Columbia.
Advisors' Opinion:- [By Sally Jones]
Highlight: Pepco Holdings Inc. (POM)The POM share price is currently $18.17 or 20.0% off the 52-week high of $22.72. Its yield is 5.90%.
Best Dividend Companies For 2014: Cinemark Holdings Inc(CNK)
Cinemark Holdings, Inc. and its subsidiaries engage in the motion picture exhibition business. As of June 30, 2011, it operated 436 theatres with 4,983 screens in 39 states of the United States, as well as in Brazil, Mexico, and 11 other Latin American countries. The company is headquartered in Plano, Texas.
Advisors' Opinion:- [By John Udovich]
The shares of small cap IMAX Corporation (NYSE: IMAX) have slipped more than 10% this week on growth concerns - meaning it might be a good idea to take a closer look at the stock plus its performance�verses other cinema stocks like Carmike Cinemas, Inc (NASDAQ: CKEC), Cinemark Holdings, Inc (NYSE: CNK) and Regal Entertainment Group (NYSE: RGC) along with the PowerShares Dynamic Leisure & Entertainment ETF�(NYSEARCA: PEJ).
- [By Rich Smith]
As movie-theater operator Cinemark (NYSE: CNK ) exits the Mexican market, another "gringo" is expanding to fill the gap -- from even farther north of the border.
Hot Growth Stocks For 2014: (TELNY)
Telenor ASA operates as a telecommunication company worldwide. It provides mobile communication, fixed line communication, and television (TV)-based services. The company?s mobile communication services include voice, data, Internet, content, and electronic commerce services, as well as customer equipment, such as telephone sets, mobile phones, smart phones, computers, and PABX?s. Its fixed line services comprise analogue PSTN, digital ISDN, broadband telephony, xDSL, Internet, and leased lines, as well as communication solutions. The company?s TV-based services consist of pay-TV services via satellite dish, cable TV-networks, satellite master antenna TV-networks systems, broadband access services to cable TV-subscribers, and broadcasting rights, as well as security solutions to pay-TV operators. It also provides consulting and information technology services; maritime and aircraft telecommunications services; Internet protocol services; and mobile marketing agency service s, as well as manages two funds. The company has approximately 120 million mobile subscriptions. Telenor ASA was founded in 1885 and is headquartered in Fornebu, Norway.
Best Dividend Companies For 2014: Wisconsin Energy Corporation (WEC)
Wisconsin Energy Corporation engages in the generation, distribution, and sale of electric energy and steam. The company also involves in the purchase, distribution, and sale of natural gas to retail customers, as well as in the transportation of customer-owned natural gas in Wisconsin. It generates electricity from coal, natural gas, wind, and hydro sources. The company offers its services under ?We Energies? name. It serves approximately 1,120,200 electric customers in Wisconsin and the Upper Peninsula of Michigan; approximately 1,064,500 gas customers in Wisconsin; and approximately 460 steam customers in metropolitan Milwaukee, Wisconsin. In addition, the company invests and develops in real estate properties, including business parks and other commercial real estate projects primarily in southeastern Wisconsin. It provides electric utility service to industries, such as mining, paper, foundry, food products, and machinery production, as well as to retail chains. The c ompany was founded in 1981 and is based in Milwaukee, Wisconsin.
Advisors' Opinion:- [By Larry Smith]
Wisconsin Energy (WEC) - Wisconsin Energy is the largest electric and gas company in Wisconsin with 1.1 million electric customers and 1 million gas customers. Wisconsin Energy also owns a 26% interest in American Transmission Company, a multistate, transmission only utility. WEC has been named the most reliable utility in the Midwest seven out of the last 10 years and has very high customer satisfaction. I owned WEC briefly and would be willing to own it again at a price under $38.00.
Best Dividend Companies For 2014: Investors Real Estate Trust(IRET)
Investors Real Estate Trust, a real estate investment trust (REIT), engages in the ownership and operation of income-producing real estate properties in the United States. It owns multi-family residential properties and commercial office, medical, industrial, and retail properties located primarily in the upper midwest states of Minnesota and North Dakota. As of April 30, 2008, the company operated a real estate portfolio of 72 multi-family residential; 65 office; 48 medical; 17 industrial; and 33 retail properties. Investors Real Estate Trust has elected to be taxed as a REIT under the Internal Revenue Code of 1986. As a REIT, the trust is not subject to federal corporate income taxes, if it distributes at least 90% of its taxable income to its shareholders. The company was founded in 1970 and is headquartered in Minot, North Dakota with additional offices in Minneapolis, Minnesota, and Omaha, Nebraska; and Kansas City, Kansas, and St. Louis, Missouri.
Best Dividend Companies For 2014: Cross(A.T.)
A.T. Cross Company engages in the design and marketing of personal and business accessories. It operates in two segments, Cross Accessory Division (CAD) and Cross Optical Group (COG). The CAD segment manufactures and markets writing instruments under the Cross brand, including ball-point pens, fountain pens, selectip rolling ball pens, mechanical pencils, and writing instrument accessories, such as refills and desk sets. It also provides various personal and business accessories, including leather goods, reading glasses, watches, desk sets, cufflinks, and stationery. This segment sells its products through direct sales force and manufacturers' agents or representatives to approximately 2,400 retail and wholesale accounts; and directly to consumers through its Web site, cross.com, and the Cross retail stores in the United States, as well as through distributors and retailers worldwide. The COG segment designs, manufactures, and markets polarized sunglasses and goggles under the Costa and Native brnads in the United States. This segment sells its products through employee representatives and manufacturers? agents to optical and sunglass specialty shops, department stores, and sporting goods retailers in the United States. A.T. Cross Company was founded in 1846 and is headquartered in Lincoln, Rhode Island.
Best Dividend Companies For 2014: CRB Futures Index(CR)
Crane Co. manufactures and sells engineered industrial products in the United States and internationally. The company operates in five segments: Aerospace & Electronics, Engineered Materials, Merchandising Systems, Fluid Handling, and Controls. The Aerospace & Electronics segment offers pressure, fuel flow, and position sensors and subsystems; brake control systems; coolant, lube and fuel pumps; and seat actuation products. This segment also provides power supplies and custom microelectronics for aerospace, defense, medical, and other applications; and electrical power components, power management products, electronic radio frequency, and microwave frequency components and subsystems for the defense, space, and military communications markets. The Engineered Materials segment manufactures fiberglass-reinforced plastic panels for the truck trailer and recreational vehicle markets, industrial markets, and the commercial construction industry. The Merchandising Systems segmen t offers vending solutions, such as food, snack, and beverage vending machines; and vending machine software and online solutions, as well as payment solutions, including coin accepters and dispensers, coin hoppers, coin recyclers, bill validators, and bill recyclers. The Fluid Handling segment manufactures and sells various industrial and commercial valves and actuators; provides valve testing, parts, and services; manufactures and sells pumps and water purification solutions; distributes pipe, pipe fittings, couplings, and connectors; and designs, manufactures, and sells corrosion-resistant plastic-lined pipes and fittings. The Controls segment produces ride-leveling, air-suspension control valves for heavy trucks and trailers; pressure, temperature, and level sensors; ultra-rugged computers, measurement and control systems, and intelligent data acquisition products; and water treatment equipment. Crane Co. was founded in 1855 and is based in Stamford, Connecticut.
Advisors' Opinion:- [By Chuck Carnevale]
Next, I run graphs on liquidity ratios and additional data on various valuation ratios to include price to book value (pb), price to cash flow (pcfl), price to free cash flow (pfcfl) and others that can be seen as options on the navigation bar to the left of the sample graph which only plots the current ratio (cr), a quick ratio (qr) and for those diehards concerned with volatility [size=11.0pt;line-height:115%; font-family:"Calibri","sans-serif";mso-ascii-theme-font:minor-latin;mso-fareast-font-family: Calibri;mso-fareast-theme-font:minor-latin;mso-hansi-theme-font:minor-latin; mso-bidi-font-family:"Times New Roman";mso-bidi-theme-font:minor-bidi; mso-ansi-language:EN-US;mso-fareast-language:EN-US;mso-bidi-language:AR-SA">��/p>
- [By CRWE]
Crane Co. (NYSE:CR) reported that Andrew L. Krawitt, Vice President, Treasurer and Principal Financial Officer, will be speaking at the 2012 Citi Global Industrials Conference in Boston on Wednesday, September 19, 2012 from 2:00 PM to 2:40 PM.
Best Dividend Companies For 2014: ConAgra Foods Inc.(CAG)
ConAgra Foods, Inc. operates as a food company primarily in North America. It operates in two segments, Consumer Foods and Commercial Foods. The Consumer Foods segment provides branded, private label, and customized food products, which are sold in various retail and foodservice channels. It offers products in various categories, such as meals, entrees, condiments, sides, snacks, and desserts in frozen, refrigerated, and shelf-stable temperature classes. This segment?s principal brands include Alexia, ACT II, Banquet, Blue Bonnet, Chef Boyardee, DAVID, Egg Beaters, Healthy Choice, Hebrew National, Hunt?s, Marie Callender?s, Orville Redenbacher?s, PAM, Peter Pan, Reddi-wip, Slim Jim, Snack Pack, Swiss Miss, Van Camp?s, and Wesson. The Commercial Foods segment provides commercially branded foods and ingredients that are sold to foodservice, food manufacturing, and industrial customers. Its primary products consist of specialty potato products, milled grain ingredients, a ran ge of vegetable products, seasonings, blends, and flavors. This segment sells products under brands, such as ConAgra Mills, Lamb Weston, and Spicetec Flavors & Seasonings. The company was founded in 1919 and is headquartered in Omaha, Nebraska.
Advisors' Opinion:- [By Rich Smith]
A few weeks back, I made the argument for why General Mills (NYSE: GIS ) stock offers investors a pretty compelling bargain -- based on the stock's valuation, and relative to a couple of its larger rivals. Whether you value the stock on its GAAP earnings, its actual free cash flow ("cash profit"), or even on the size of its dividend yield, General Mills stock is cheaper, and pays you better, than do the stocks of either Kellogg (NYSE: K ) or ConAgra Foods (NYSE: CAG ) .
- [By Dan Caplinger]
One area where Whole Foods could see huge promise is in the rise of private-label brands. In the conventional food space, ConAgra's (NYSE: CAG ) buyout of Ralcorp Holdings, which closed in late January, upped the ante for private-label sales. Brand-name food producers like Kellogg and General Mills now find themselves on the defensive against lower-priced alternatives that compete well not only on price but also on quality. Yet Whole Foods has taken advantage of the trend to come out with its own private-label offerings, which have the potential to boost its margins even further.
- [By Katie Brennan]
ConAgra Foods Inc. (CAG) added 5.1 percent to $35.04. The maker of Chef Boyardee pasta and Pam cooking spray reported quarterly profit that topped analysts estimates as acquisitions drove sales in its consumer foods unit.
- [By Jon C. Ogg]
ConAgra�Foods Inc. (NYSE: CAG) was raised to Buy from Neutral at Goldman Sachs.
E*TRADE Financial Corp. (NASDAQ: ETFC) was reiterated as Buy, but the price target was raised to $19.50 from $16.50, at Sterne Agee, making the third or fourth such price target upgrade in as many days, but what stands out here is that this appears to now be a “street-high” price target.
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