07-29-2014, 11:19 PM
In my wife's portfolio. Low yield and bumps dividend every 5 quarters instead of 4. Payout ratio is around 60%. P/E around 17 and forward P/E around 14.5. Debt/equity around 60% (not bad for major manufacturer that just did a recent purchase of another large manufacturer -- see below). Management loaded up debt to make the purchase and spent the last couple years integrating Goodrich's operations and paying down the debt.
Bought Goodrich out a couple years ago to augment their aerospace lineup with both engine components, jet undercarriage assemblies, other aircraft assemblies and also some engineering talent. I believe some of the design and patents also applied to Sikorsky helicopters.
All that being said, consistently good growth when the business cycle is in their favor. Management is really strong and fairly conservative. They have quite a bit of defense business but they don't solely rely on that.
Stats are readily available. If you've got a long time frame, I wouldn't have a problem taking a bite out of UTX. It's #2 in wife's portfolio and we just let it reinvest. I have confidence that over the long term, management will keep growing the company and the dividend. Just remember they'll take a hit in a recession just like most manufacturers.
Bought Goodrich out a couple years ago to augment their aerospace lineup with both engine components, jet undercarriage assemblies, other aircraft assemblies and also some engineering talent. I believe some of the design and patents also applied to Sikorsky helicopters.
All that being said, consistently good growth when the business cycle is in their favor. Management is really strong and fairly conservative. They have quite a bit of defense business but they don't solely rely on that.
Stats are readily available. If you've got a long time frame, I wouldn't have a problem taking a bite out of UTX. It's #2 in wife's portfolio and we just let it reinvest. I have confidence that over the long term, management will keep growing the company and the dividend. Just remember they'll take a hit in a recession just like most manufacturers.
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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