10 Large Cap Dividend Utilities With Highest Expected EPS Growth

Submitted by Dividend Yield as part of our contributors program.

Utilities With Highest Growth Forecasts And Positive Dividend Payments Researched By “long-term-investments.blogspot.com“. A sector with high dividends and reliability dividend payments is the utility sector. If you look into this sector, you can find only 121 companies which have a summarized market capitalization of USD 21.89 billion. The average P/E of the sector amounts to 15.36 and the dividend yield is around 4.34 percent.

Utilities are often ex-growth and loaded with huge amounts of debt. There is very capital intensive and growth needs huge cash. I made a screen of the fastest growing stocks in terms of earnings per share over the mid-term (next five years). In addition I observed only those companies with a market capitalization over USD 10 billion and a positive dividend yield. Exactly 10 companies remained of which four are currently recommended to buy.

These are my favorite stocks:

The Southern Company (SO) has a market capitalization of $37.45 billion. The company generates revenue of $17.657 billion and has a net income of $2.268 billion. The firm’s EBITDA amounts to $5.948 billion. The EBITDA margin is 33.69% (operating margin 23.96% and net profit margin 12.84%).

The total debt represents 35.81% of the company’s assets and the total debt in relation to the equity amounts to 113.74%. Last fiscal year, a return on equity of 13.04% was realized. Twelve trailing months earnings per share reached a value of $2.54. Last fiscal year, the company paid $1.87 in form of dividends to shareholders. The earnings per share are expected to grow by 5.28 percent for the next five years.

Here are the price ratios of the company: The P/E ratio is 16.83, Price/Sales 2.11 and Price/Book ratio 2.11. Dividend Yield: 4.58%. The beta ratio is 0.27.

TransCanada (TRP) has a market capitalization of $31.53 billion. The company generates revenue of $9.171 billion and has a net income of $1.717 billion. The firm’s EBITDA amounts to $4.823 billion. The EBITDA margin is 52.60% (operating margin 35.24% and net profit margin 18.72%).

The total debt represents 45.47% of the company’s assets and the total debt in relation to the equity amounts to 128.60%. Last fiscal year, a return on equity of 9.66% was realized. Twelve trailing months earnings per share reached a value of $1.96. Last fiscal year, the company paid $1.69 in form of dividends to shareholders. The earnings per share are expected to grow by 7.40 percent for the next five years.

Here are the price ratios of the company: The P/E ratio is 22.83, Price/Sales 3.43 and Price/Book ratio 1.94. Dividend Yield: 3.94%. The beta ratio is 0.72.

Sempra Energy (SRE) has a market capitalization of $16.19 billion. The company generates revenue of $10.036 billion and has a net income of $1.355 billion. The firm’s EBITDA amounts to $2.722 billion. The EBITDA margin is 27.12% (operating margin 17.38% and net profit margin 13.50%).

The total debt represents 32.57% of the company’s assets and the total debt in relation to the equity amounts to 110.19%. Last fiscal year, a return on equity of 14.39% was realized. Twelve trailing months earnings per share reached a value of $3.52. Last fiscal year, the company paid $1.92 in form of dividends to shareholders. The earnings per share are expected to grow by 6.50 percent for the next five years.

Here are the price ratios of the company: The P/E ratio is 19.04, Price/Sales 1.61 and Price/Book ratio 1.63. Dividend Yield: 3.58%. The beta ratio is 0.50.

Take a closer look at the full table of the best growth utilities. The average P/E ratio amounts to 19.04 and forward P/E ratio is 15.11. The dividend yield has a value of 3.91 percent. Price to book ratio is 1.83 and price to sales ratio 1.87. The operating margin amounts to 21.50 percent. The average stock has a debt to equity ratio of 1.60.

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· 12 Best Dividend Paying Utilities To Consider
· The Best Yielding Diversified Utilities
· 12 Fast Growing Utilities With A Dividend Yield Above 3 Percent
· 11 Water Utilities With Best Dividend Yield