| The Casual Investor | ||||||||||||
| Investing tips for those who are not yet rich | ||||||||||||
Stock Pick 12/23/2007: ACME
I returned to my roots to select today's stock. It's been a while since I've sifted the highest-dividend stocks and chosen what I think of as the best. That's ACME right now. ACME is a microcap, weighing in at $39.15M. They have a swing multiple between 2 and 3, with a current price of $2.44 and a 52-week range of $2.37 to $6.16. Their profit margin is 43.8% from a gross margin of 64.6%. The price-earnings ratio is 2.30 and the price-sales is 1.20, for an average of 1.75. All these numbers are excellent. So, with good numbers in the supporting values of this investment, we can turn to the dividend. Right now it is $0.50 per year, slightly more than 20% of the current price per share. Cash flow per share is $1.47, so the dividend is sustainable. Based on the fundamentals, this stock seems to have excellent dividend returns as well as growth potential. This may be a stock to put money in. 2007-12-23 23:03:55 GMT
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