For this article I've researched dividend paying companies in the Communication Equipment Industry. Also, to make sure I find the best companies, all three stocks mentioned in this article comply with the following criteria:
- Market cap of more than $500 million and an average volume of at least 300,000 for low volatility.
- Cash per share and current ratio greater than one, meaning good liquidity and dividend sustainability.
- Price more »
On November 1, 2011, White Plains, New York-based ITT Corporation (NYSE: ITT) executed a three-way split that created two new publicly-traded companies. ITT's water-services division was spun off and re-branded as Xylem (NYSE: XYL). Meanwhile, its "defense and information solutions" division was spun off and re-branded as ITT Excelis (NYSE: XLS). This defense-relations firm later dropped the "ITT" from its name. Since the split, the performance of the original more »
There was a time when communicating with other human beings involved actually being around them. But those days are long gone, and today we depend on technology to let us interact with others. But beyond the marketing aspect of communications (like hearing endless debates about which smartphone is the best), I have to wonder if there's anything really different about the various companies that make communication equipment. Time to more »
Value investors typically target companies based on low fundamental ratios such price relative to earnings, sale or cash flow. The value investor is interested in the numerator to determine if a particular company is undervalued when compared to its peers given the level of earnings (sale or cash flow) its operations are generating. A common strategy, picking shares which are trading at discounted multiples, has proven to be successful in more »
Dividends can be paid out for a variety of basic reasons. Although the fundamental purpose of the distribution is generally to pass on company profits directly to the shareholders, several key motivations are behind such an action.
Firstly, dividend payments increase stock prices as the income stream becomes factored into the share price of a particular company either through the dividend growth model or simply through increasing investor sentiment. Secondly more »