This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
TheStreet Open House

5 High-Yield Stocks With Bullish Price Trends

Stocks in this article: MRKSTXSOCTLWM

NEW YORK ( TheStreet) -- Who doesn't enjoy receiving statements with dividend income every month? I know I look forward to collecting dividends with capturing strategies or with longer-term holds.

If collecting big dividends was as easy as buying the highest-yielding stocks we would all be rich and holding a drink in our hand on the beach (not to mention how crowded the beach would be).

Fortunately, there are methods to filter out many of the dogs with fleas, and zero in on the Best in Show.

I start by examining stocks I already either trade or follow and have a large dividend. I add in a screen for large-yield stocks and add the ones that meet the following criteria:

  • A stock must be highly liquid, and trade with a small bid-ask spread to avoid slippage
  • The company must have a history of dividend payments and increases in payments
  • The company needs to demonstrate the ability to continue paying the current dividend or more
  • The stock chart must be in a bullish uptrend; there is no point in looking for an oversized yield if the shares are expected to drop as much or more in the next year

How does a dividend investor exploit the following list of dividend stock guidance? This should be your starting point, not an end-all for your research.

Make sure the industry and the company are a match for your investment objectives. Use your current professional knowledge as applicable to garner a market edge when entering or exiting a position.

Waste Management (WM)

Background: Waste Management provides integrated waste management services in North America and internationally. In North America, the company provides solid waste management services including collection, transfer, recycling and resource recovery services, and disposal services. Waste Management, Inc. trades an average of 5.4 million shares per day with a market cap of $15.9 billion.

Yield: 4.15%

Analyst opinion is mixed with a bearish overtone. It appears the market doesn't agree with the analysts on this one.

The mean fiscal year estimate price-to-earnings ratio is 15.8, based on earnings of $2.16 per share this year.

WM Payout Ratio TTM Chart WM Payout Ratio TTM data by YCharts

Shareholders receive $1.42 annually in dividend payments. Over the last five years, the dividend has grown by an average of 9.1% per year, almost as fast as the garbage piles up in my son's room.

Shares are slowly but steadily climbing in the last 30 days. Shares are now 2.5% higher than last month. Based on technical analyst the chart is breaking out of recent resistance and appears ready to test the next level of resistance near $36. The moving averages are either moving higher or rounding higher.

1 of 5

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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!
DOW 17,390.13 +194.71 1.13%
S&P 500 0.00 -2.75 -0.14%
NASDAQ 4,630.0810 +63.9430 1.40%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs