Generally, companies in the healthcare sector such as Aceto often provide attractive dividend yields due to relatively stable earnings as these are considered defensive sectors that can make money in any economic environment. Therefore, these companies provide a strong reliable stream of constant income which is a great diversifier during economic downturns. As a long term investor, I favour these healthcare stocks with great dividend payments that continues to add value to my portfolio.
Aceto Corporation (NASDAQ:ACET)
ACET has a juicy dividend yield of 9.42% and a reasonably sustainable dividend payout ratio , with analysts expecting this ratio to be 21.07% in the next three years. ACET’s dividends have seen an increase over the past 10 years, with payments increasing from US$0.20 to US$0.26 in that time. They have been dependable too, not missing a single payment in this time. Analysts are enthusiastic about the company’s future growth, estimating a 67.67% earnings per share increase over the next 12 months. Dig deeper into Aceto here.
National HealthCare Corporation (AMEX:NHC)
NHC has a good-sized dividend yield of 3.09% and their payout ratio stands at 71.73% . NHC’s dividends have increased in the last 10 years, with DPS increasing from US$0.96 to US$2.00. They have been dependable too, not missing a single payment in this time. The company’s level of debt of 18.20% compared to it’s net worth is satisfactory (less than 40%), which indicates on the surface that the company is in a healthy position. Interested in National HealthCare? Find out more here.
Cardinal Health, Inc. (NYSE:CAH)
CAH has a solid dividend yield of 3.51% and the company currently pays out 34.24% of its profits as dividends . In the case of CAH, they have increased their dividend per share from US$0.56 to US$1.91 so in the past 10 years. They have been dependable too, not missing a single payment in this time. The company outperformed the us healthcare industry’s earnings growth of 8.32%, reporting an EPS growth of 26.00% over the past 12 months. Interested in Cardinal Health? Find out more here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.