Selecting the Best Industrial Dividends for the Next 5 Years

The profitability of the industrial producers is directly correlated with that of other sectors. These companies play an essential role in the development of the new technologies as well as services. Consequently, the performance of the large-cap industrials is a solid indicator of the strength of the U.S. economy. In the last 5 years, the average EPS growth of industrial companies was 7.02%, whereas the average EPS growth estimate for the next 5 years is 14.66%. While the year-to-date performance of 1.38% is disappointing, one year performance of 23.25% is promising. As of June 13, the average yield of industrial companies was 1.81%. Some large caps offer substantial dividends, whereas some have no dividend policy yet. This article, the fourth in series, offers a unique dividend selection model for the next 5 years in this sector based on strong evidence from the last 5 years. Review of O-Metrix O-Metrix is... Read more