This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

10 Top Companies With Cash to Burn

BOSTON ( TheStreet) -- With the Federal Reserve blessing riskier assets through QE2, investors are seeking cheap stocks that can offer downside protection if the economy worsens. Here are 10 large-cap companies with net liquidity positions, meaning they have more cash than debt. No matter the industry, cash is king. Companies with excess cash can boost dividends, buy back shares or purchase competitors, rewarding shareholders.

Below, the companies are ordered by net cash balance, from plenty to too much.

10. Stryker (SYK) is a medical-technology company, making orthopedic implants and surgical equipment. Its third-quarter profit surged 47% to $338 million, or 85 cents a share, as revenue grew 6.9% to $1.8 billion. The operating margin widened from 23% to 27%. Stryker's stock trades at a forward earnings multiple of 14, a book value multiple of 2.8, 26% and 34% discounts to health care peer averages. It pays a 1.2% dividend yield with a payout ratio of 19%. Roughly 58% of analysts covering Stryker rate its stock "buy" and the remainder rank it "hold."

Bullish Scenario: Piper Jaffray (PJC) offers a $59 target, suggesting a 12-month return of 14%.

1 of 10

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
AAPL $124.75 0.00%
CSCO $27.92 0.00%
CVX $109.11 0.00%
GOOG $524.05 0.00%
INTC $32.47 0.00%


DOW 17,826.30 -279.47 -1.54%
S&P 500 2,081.18 -23.81 -1.13%
NASDAQ 4,931.8150 -75.9760 -1.52%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs