Every year I take a few attributes which may indicate a company is undervalued and run the screen multiple times a year buying very small lots weekly/monthly of those companies. This is the third iteration for 2022.
I was particularly excited to run this screen given all that has happened in the markets since my last screen on March 21:
My hope and goal when I started the project was to find a couple of big names (by Market Cap) that I can start building a position in or add to my position if I haven’t seen the name in a while and have a tiny position.
2022 Dividend Growth Screen
In January I gave myself the following parameters for 2022:
- The company must have increased their divdiend at least 15 years; and
- Price to Earnings under 15; and
- Price to Free Cash Flow under 20; and
- Earnings per share positive for past 5 years; and
- Sales growth positive for past 5 years; and
- Payout Ratio under 30%
I was left with the following 23 companies:
Cross referncing my positions by size and the list above, for the foreseeable future I am going to add to:
- RBCAA
- THFF
- CINF
In addition, Westlake Corporation caught my eye as it is not a financial company. According to Wiki,
Westlake Chemical is an international manufacturer and supplier of petrochemicals, polymers and fabricated building products, which are fundamental to various consumer and industrial markets. The company was founded by Ting Tsung Chao in 1986. it is the largest producer of low-density polyethylene (LDPE) in the US and ranks among the Forbes Global 2000. Westlake Chemical operates in two segments: Olefins and Vinyls, and is also an integrated producer of vinyls, with substantial downstream integration into polyvinyl chloride (PVC) building products.
So for the next couple of months I am going to build/add to:
- RBCAA
- THFF
- CINF
- WLK
