This is my monthly update about US dividend growth companies.
As usual my preference go toward undervalued large companies with good competitive advantage (MOAT) , solid balance sheet, low debt and a healthy cash flow.
In this selection I considered the following criteria :
- US Large Cap Companies
- Competitive Advantage ≥ Narrow
- Trading Lower than their Price/Fair Value (Morningstar DCF model)
- Forward P/E ≤ P/E
- P/E or Forward P/E lower than their benchmark (Russell 1000 Index)
- Free Cash Flow >0
- EPS forecast > 0
- Free Cash Flow cover Dividends
- Dividend Yield higher than Russell Index dividend yield
- Dividend Yield higher than Companies 5 Year Average
- Dividend Growth past 5 year > 3%
Good reading and please do your own due diligence before investing.
(Source : Morningstar ; Reuters; Bloomberg; Finviz; Yahoo)