Sorry!! The article you are trying to read is not available now.
Thank you very much;
you're only a step away from
downloading your reports.




Inspired by this morning's reminder by our friend Jeffrey Saut to look for companies with fat earnings yields, I ran two screens. The first lists companies with Trailing 12 Months Yields, and Forward 12 Months EPS Estimates Yields of greater than 9%. What jumped out from the results is the inclusion of some companies that have balance sheets that definitely cool the initial enthusiasm.

The second screen attempts to get around this problem, by screening on the basis of the Yield of EPS (trailing and forward) to Enterprise Value per Diluted Share. The threshold is kept at 9% for both trailing and forward. This cuts some slack to companies that are cash rich, and eliminates balance sheet horrors such as the automakers.

Hopefully this is a starting point for digging into some candidates. In the spirit of the 'Ville, please share your knowledge about specific issues that might strengthen or weaken this analysis.

P.S. Forgot to mention that I filtered out virtually all financial and insurance names from the screens as well as a few other industries.

No positions in stocks mentioned.
The information on this website solely reflects the analysis of or opinion about the performance of securities and financial markets by the writers whose articles appear on the site. The views expressed by the writers are not necessarily the views of Minyanville Media, Inc. or members of its management. Nothing contained on the website is intended to constitute a recommendation or advice addressed to an individual investor or category of investors to purchase, sell or hold any security, or to take any action with respect to the prospective movement of the securities markets or to solicit the purchase or sale of any security. Any investment decisions must be made by the reader either individually or in consultation with his or her investment professional. Minyanville writers and staff may trade or hold positions in securities that are discussed in articles appearing on the website. Writers of articles are required to disclose whether they have a position in any stock or fund discussed in an article, but are not permitted to disclose the size or direction of the position. Nothing on this website is intended to solicit business of any kind for a writer's business or fund. Minyanville management and staff as well as contributing writers will not respond to emails or other communications requesting investment advice.

Copyright 2011 Minyanville Media, Inc. All Rights Reserved.
Featured Videos