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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Beat the S&P With These 5 Shareholder Yield Champs

AOL

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

First up is AOL (AOL), the unlikely $2.6 billion Web services stock best known to many investors for its days as "America On Line." But a lot has changed at AOL since then. Today, AOL is primarily a content company, with a collection of sites that includes the Huffington Post, Advertising.com, TechCrunch and StyleList. While subscriptions are still a part of AOL's business model, they dropped to less than a third of revenue in the most recent quarter. The rest comes from advertising on AOL's content sites.

>>5 Tech Stocks Spiking on Unusual Volume

Despite the exceptional luck in timing its re-entry to the public markets just a few months after the market bottomed in 2009, investors have been slow to warm to AOL. After all, the firm's legacy business has crumbled, and its new business is crowded. But nevertheless, AOL has executed well. The firm is profitable despite its much-reduced scale, and it's done a good job of establishing defensible moats around its niche web properties.

AOL sports a stellar balance sheet, with $483 million in cash offset by just $105 million in debt. That's nearly $5 per share in net cash -- a hefty component of AOL's valuation right now. That's been helped out by the firm's efforts to hike shareholder yield through massive buybacks and dividends.

That adds up to a huge 44.3% yield on AOL's current share price, giving this online content company top billing on our list today.

2 of 6

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 16,985.61 +78.99 0.47%
S&P 500 1,972.83 +9.12 0.46%
NASDAQ 4,419.0340 +27.5710 0.63%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto
Advertising Partners

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