This provider of analog chips was spun out from Harris Semiconductor
nearly a decade ago, and has been a consistent dividend producer ever since. The company has paid out exactly 48 cents a share in each of the past four years, which works out to be a 7% yield at current prices. It's unusual to find such a robust yield in an industry that generally tends to shy away from payouts.
(ISIL - Get Report)
focus on analog chips is unsexy, but steady, enabling the company to produce a cumulative $640 billion in free cash flow over the past six years. Even if cash flow dipped in the face of an industry slowdown, Intersil's $400 million cash balance ensures that the company will be able to stand by that dividend until industry fortunes improve.
This weight loss management firm has lost some market share to rival Weight Watchers
, and sales, which fell from $500 million in 2010 to $400 million in 2011, appear to be stuck at that lower level again in 2012. That helps explain why shares have fallen from $30 in early 2010 to a recent $8.
Yet all the while, Nutrisystem
has been earnings enough to support its 70 cents a share annual dividend, which implies a yield of above 9%. Such a high yield may lead to questions about whether the dividend may be cut.
Well, management has not talked about a dividend cut, and recently told investors that a series of new marketing initiatives should help business to rebound in 2013, presumably eliminating the need to cut the dividend. Even if the dividend were to be cut by half, the resulting yield would still be an impressive 4.5%.
This provider of postage-labeling equipment has boosted its dividend every year for three decades. But investors have come to question if that will keep happening, as sales are on track to fall for the fourth straight year in 2012 to a projected $5 billion. As a result, a stock that traded near $40 five years ago is now around $11.