Suburban Propane Partners Named Top Dividend Stock With Insider Buying and 8.02% Yield (SPH)

Apr 28 2014, 3:17pm CDT | by

In this series, we look through the most recent Dividend Channel ”DividendRank” report, and then we cherry pick only those companies that have experienced insider buying within the past six months. The officers and directors of a company tend to have a unique insider’s view of the business, and presumably the only reason an insider would choose to take their hard-earned cash and use it to buy stock in the open market, is that they expect to make money — maybe they find the stock very undervalued, or maybe they see exciting progress within the company, or maybe both. So when stocks turn up that see insider buying, and are also top ranked, investors are wise to take notice. One such company is Suburban Propane Partners L.P. (NYSE: SPH), which saw buying by CEO Michael J. Dunn Jr..

Click here to find out The Top DividendRank ‘ed Stocks With Insider Buying »

Back on March 5, Dunn Jr. invested $205,650.00 into 5,000 shares of SPH, for a cost per share of $41.13. In trading on Monday, shares were changing hands as low as $43.70 per share, which is 6.2% above Dunn Jr.’s purchase price. Suburban Propane Partners L.P. shares are currently trading +0.53% on the day. The chart below shows the one year performance of SPH shares, versus its 200 day moving average:

Looking at the chart above, SPH’s low point in its 52 week range is $39.91 per share, with $50.25 as the 52 week high point — that compares with a last trade of $43.89. By comparison, below is a table showing the prices at which insider buying was recorded over the last six months:

Purchased Insider Title Shares Price/Share Value
03/05/2014 Michael J. Dunn Jr. President and CEO 5,000 $41.13 $205,650.00

The DividendRank report noted that among the coverage universe, SPH shares displayed both attractive valuation metrics and strong profitability metrics. The report also cited the strong quarterly dividend history at Suburban Propane Partners L.P., and favorable long-term multi-year growth rates in key fundamental data points.

The report stated, ”Dividend investors approaching investing from a value standpoint are generally most interested in researching the strongest most profitable companies, that also happen to be trading at an attractive valuation. That’s what we aim to find using our proprietary DividendRank formula, which ranks the coverage universe based upon our various criteria for both profitability and valuation, to generate a list of the top most ‘interesting’ stocks, meant for investors as a source of ideas that merit further research.

The annualized dividend paid by Suburban Propane Partners L.P. is $3.50/share, currently paid in quarterly installments, and its most recent dividend ex-date was on 05/02/2014. Below is a long-term dividend history chart for SPH, which the report stressed as being of key importance. Indeed, studying a company’s past dividend history can be of good help in judging whether the most recent dividend is likely to continue.


Special Offer: Establish a secure stream of income during your retirement years by following the Retiree Income Portfolio with this free 30 day trial
/>/>
 
 
 

<a href="/latest_stories/all/all/30" rel="author">Forbes</a>
Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.

 

blog comments powered by Disqus

Latest stories

18 Amazon Dash Buttons Released
18 Amazon Dash Buttons Released
The unique Amazon Dash Buttons are on sale now for Prime Members.
 
 
Yahoo Releases Livetext Video Texting App
Yahoo Releases Livetext Video Texting App
The app shares videos, pictures and texts with friends without sound and can rival Whatsapp and Snapchat.
 
 
United Airlines Also Hacked by OPM Hackers
United Airlines Also Hacked by OPM Hackers
The hackers previously breached the U.S. Office of Personnel Management and collected massive data.
 
 
Windows 10 Ads Excessively Show Babies
Windows 10 Ads Excessively Show Babies
Microsoft released a series of Windows 10 commercials with lots of babies.