08-25-2015, 06:17 PM
(This post was last modified: 08-25-2015, 06:18 PM by Dividend Watcher.)
(08-25-2015, 04:03 PM)Kerim Wrote: Tomorrow I might grab some PH and some EMR. Thoughts?
Obviously, I like EMR since it's now in both our portfolios. Yielding almost 4% is a gift if you have patience.
PH at a ttm P/E around 14, Price/Cash Flow < 12, Price/Sales around 1.2, total debt/total cash on hand of about 1.6 (really low for an industrial -- Yahoo shows over $13/share just in cash & equivalents) looks pretty good to me. The only thing giving me pause is the yield around 2.4%. Their dividend growth rate is around 10% or higher IIRC. Since you're younger than me, I don't see a problem. They are a cyclical industrial so in a good recession their earnings and share price will take a hit so you might want to buy in chunks depending on the business cycle. I think I've mentioned it several times before -- I like this company; excellent products and shareholder focused.
The rollover this afternoon hints that better pricing might be ahead. Lowball GTC limit order?
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“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan
“While the dividend itself is merely a rearrangement of equity, over time it's more like owning an apple tree. The tree grows the apples back again and again and again, and the theoretical value of the tree doesn't change just because of when the apples are about to fall.” - earthtodan