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Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer

TheStreet Ratings' stock model projects a stock's total return potential over a 12-month period including both price appreciation and dividends. Our Buy, Hold or Sell ratings designate how we expect these stocks to perform against a general benchmark of the equities market and interest rates.

While plenty of high-yield opportunities exist, investors must always consider the safety of their dividend and the total return potential of their investment. It is not uncommon for a struggling company to suspend high-yielding dividends which could subsequently result in precipitous share price declines.

TheStreet Ratings' stock rating model views dividends favorably, but not so much that other factors are disregarded. Our model gauges the relationship between risk and reward in several ways, including: the pricing drawdown as compared to potential profit volatility, i.e. how much one is willing to risk in order to earn profits?; the level of acceptable volatility for highly performing stocks; the current valuation as compared to projected earnings growth; and the financial strength of the underlying company as compared to its stock's valuation as compared to its stock's performance.

These and many more derived observations are then combined, ranked, weighted, and scenario-tested to create a more complete analysis. The result is a systematic and disciplined method of selecting stocks. As always, stock ratings should not be treated as gospel — rather, use them as a starting point for your own research.

The following pages contain our analysis of 3 stocks with substantial yields, that ultimately, we have rated "Buy."

Tupperware Brands

Dividend Yield: 4.10%

Tupperware Brands

(NYSE:

TUP

) shares currently have a dividend yield of 4.10%.

Tupperware Brands Corporation operates as a direct-to-consumer marketer of various products across a range of brands and categories worldwide. The company has a P/E ratio of 15.88.

The average volume for Tupperware Brands has been 600,600 shares per day over the past 30 days. Tupperware Brands has a market cap of $3.3 billion and is part of the consumer non-durables industry. Shares are up 5.3% year-to-date as of the close of trading on Wednesday.

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TheStreet Ratings rates

TheStreet Recommends

Tupperware Brands

as a

buy

. The company's strengths can be seen in multiple areas, such as its notable return on equity and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

Highlights from the ratings report include:

  • Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Household Durables industry and the overall market, TUPPERWARE BRANDS CORP's return on equity significantly exceeds that of both the industry average and the S&P 500.
  • The gross profit margin for TUPPERWARE BRANDS CORP is rather high; currently it is at 69.23%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 12.10% is above that of the industry average.
  • TUPPERWARE BRANDS CORP's earnings per share declined by 6.3% in the most recent quarter compared to the same quarter a year ago. The company has suffered a declining pattern of earnings per share over the past year. However, we anticipate this trend reversing over the coming year. During the past fiscal year, TUPPERWARE BRANDS CORP reported lower earnings of $4.21 versus $5.18 in the prior year. This year, the market expects an improvement in earnings ($4.96 versus $4.21).
  • TUP, with its decline in revenue, slightly underperformed the industry average of 0.0%. Since the same quarter one year prior, revenues slightly dropped by 5.2%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
  • The change in net income from the same quarter one year ago has significantly exceeded that of the Household Durables industry average, but is less than that of the S&P 500. The net income has decreased by 8.2% when compared to the same quarter one year ago, dropping from $89.70 million to $82.30 million.

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BioMed Realty

Dividend Yield: 4.90%

BioMed Realty

(NYSE:

BMR

) shares currently have a dividend yield of 4.90%.

BioMed Realty Trust, Inc. operates as a real estate investment trust (REIT) that focuses on providing real estate to the life science industry in the United States. The company has a P/E ratio of 21.82.

The average volume for BioMed Realty has been 2,076,900 shares per day over the past 30 days. BioMed Realty has a market cap of $4.4 billion and is part of the real estate industry. Shares are up 0.1% year-to-date as of the close of trading on Wednesday.

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TheStreet Ratings rates

BioMed Realty

as a

buy

. The company's strengths can be seen in multiple areas, such as its compelling growth in net income, revenue growth, reasonable valuation levels, impressive record of earnings per share growth and expanding profit margins. We feel these strengths outweigh the fact that the company shows weak operating cash flow.

Highlights from the ratings report include:

  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Real Estate Investment Trusts (REITs) industry. The net income increased by 1265.4% when compared to the same quarter one year prior, rising from $10.28 million to $140.35 million.
  • Despite its growing revenue, the company underperformed as compared with the industry average of 9.9%. Since the same quarter one year prior, revenues slightly increased by 8.9%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • BIOMED REALTY TRUST INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, BIOMED REALTY TRUST INC increased its bottom line by earning $0.98 versus $0.20 in the prior year. For the next year, the market is expecting a contraction of 80.1% in earnings ($0.20 versus $0.98).
  • The gross profit margin for BIOMED REALTY TRUST INC is rather low; currently it is at 20.81%. BMR has continued with the weak profit margin when compared to the same quarter of last year. Despite the mixed results of the gross profit margin, BMR's net profit margin of 84.64% significantly outperformed against the industry.

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GEO Group

Dividend Yield: 6.00%

GEO Group

(NYSE:

GEO

) shares currently have a dividend yield of 6.00%.

The GEO Group, Inc. provides government-outsourced services specializing in the management of correctional, detention, and re-entry facilities, and the provision of community based services and youth services in the United States, Australia, South Africa, the United Kingdom, and Canada. The company has a P/E ratio of 20.92.

The average volume for GEO Group has been 463,900 shares per day over the past 30 days. GEO Group has a market cap of $3.1 billion and is part of the real estate industry. Shares are up 3.9% year-to-date as of the close of trading on Wednesday.

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TheStreet Ratings rates

GEO Group

as a

buy

. The company's strengths can be seen in multiple areas, such as its revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and reasonable valuation levels. We feel these strengths outweigh the fact that the company shows low profit margins.

Highlights from the ratings report include:

  • GEO's revenue growth has slightly outpaced the industry average of 9.9%. Since the same quarter one year prior, revenues rose by 11.5%. Growth in the company's revenue appears to have helped boost the earnings per share.
  • Powered by its strong earnings growth of 36.84% and other important driving factors, this stock has surged by 33.15% over the past year, outperforming the rise in the S&P 500 Index during the same period. Regarding the stock's future course, although almost any stock can fall in a broad market decline, GEO should continue to move higher despite the fact that it has already enjoyed a very nice gain in the past year.
  • GEO GROUP INC has improved earnings per share by 36.8% in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. We feel that this trend should continue. During the past fiscal year, GEO GROUP INC increased its bottom line by earning $1.99 versus $1.64 in the prior year. This year, the market expects an improvement in earnings ($2.06 versus $1.99).
  • The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Real Estate Investment Trusts (REITs) industry average. The net income increased by 37.8% when compared to the same quarter one year prior, rising from $27.61 million to $38.05 million.

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