James Dennin, Kapitall: Todays screen looks at dividend stocks with earnings reports coming out next week.
Earnings season is still in full swing with hundreds of companies reporting next week. With that in mind, we decided to run a screen on some of these stocks to look for positive indicators that good news might catalyze into upside returns.
Every quarter companies are required to provide their shareholders with hard numbers about how the company is doing. Since this event only happens four times a year, market volatility increases during earnings season as the market adjusts and assigns new prices to stocks based on fresh numbers.
To narrow our screen, we decided to focus on larger and more established companies. We looked exclusively for large-cap stocks that pay dividends. Mature stocks reward shareholder loyalty by re-distributing some of their profits as dividends. Dividend stocks are an important part of any portfolio because they gain value faster as shareholders re-invest the payments.
We then further narrowed the screen to look for spikes in institutional purchasing. This indicates that more fund managers are buying shares of the stock. Since these institutions can often spend a lot more time and money doing due dilligence on the stock, their insights carry more weight than the typical buyer.
After narrowing the screen using these three parameters, we were left with 2 stocks on our list.
Analyze These Ideas:
for all stocks in the list.
Click on the interactive chart below to view dividend yields over time.
Compare analyst ratings to annual returns
for stocks mentioned
1.RRSat Global Communications Network Ltd.
):Provides content management and distribution services to television and radio broadcasting industries. Market cap at $162.71M, most recent closing price at $9.38.
Net institutional purchases in the current quarter at 608.1K shares, which represents about 11.22% of the company's float of 5.42M shares.