UL Unilever: from Findus to Knorr, top brands and juicy dividends March 16, 2006Posted by deminvest in investment, Single stocks, stocks.
Well we the proletarians had to give up. Let’s face it. Who among us is still trying to resist consumer’s society? We do have a new way out… It is a theory of mine which brought me to buy GOL stock a few weeks ago… I will tell you about it soon.
Well anyway we know what power advertising and consumer goods brands have on us and our wives. Here we have a gem perfectly suit for our poor men’s portfolio. Unilever. It is a healthy company. It is growing fast. It owns some of word’s best known brands, like Lipton, Calvè, Slim-Fast, Cif, Dove, Pond’s, Omo, Rexona…
It has a cheap P/E ratio of 15.53% and a juicy Dividend Yield of 3.50%. Forecasts seem, according to our Yahoo finance friends, very good. Earnings are supposed to go up, so P/E should go down 13.74% and, very interestingly, Dividend Yield should go up to 4.50%. I calculated that the pay ratio should be around 40%, which is fine although not as good as Intel.
UL Unilever is growing fast: Qtrly Revenue Growth (yoy) of 11.30% and Qtrly Earnings Growth (yoy) of 36.00%.
UL has some debts, about 15 B$, which is fine compared to Revenues 47.25B. Less than one third of annual sales.
Ok I am convinced. So convinced that I will place a 2000$ order at any price before opening, instead of my usual 1000$ order. Am I crazy today?