3 Good-Yielding Stocks With A Very Low Price To Free Cash Flow
Many investors prefer using free cash flow instead of net income to measure a company's financial performance because free cash flow is more difficult to manipulate. Free cash flow is the operating cash flow minus capital expenditure. I have searched for profitable companies that pay rich dividends with a low payout ratio and that have a very low price to free cash flow. Those stocks would have to also show a low debt. I used the Portfolio123's powerful screener to perform the search. The screen's formula requires all stocks to comply with all following demands:
The stock does not trade over-the-counter (OTC).
Price is greater than 1.00.
Market cap is greater than $100 million.
Dividend yield is greater than 3.0%.
The payout ratio is less than 100%.
Total debt to equity is less than 1.0.
Price to free cash flow is less than 10.
As shown in the chart... Read more