Paying a nice 4.2% yield, I picked up PM today after the stock dropped from just under $80 per share two weeks ago.
6 reasons why I like PM today
1. The 4.2% Safe Dividend Yield – I’m auto reinvesting all dividends in my retirement accounta and I believe the dividend is safer than MO.
2. Highly reliable long hold stock that I acquired from the MO spinoff and added shared in August of 2011. With the recent selloff, I see this as an opportunity to add to my PM holdings.
3. The company is buying back shares- In the third quarter of 2011, they bought back 21.1 million shares and that trend has been consistent in the past.
4. PEG is 1.35 vs Tobacco industry of 1.94
5. Revenue growth of 26.4% is greater than industry average of 17.6%
6. EPS improved by 36.4% in the most recent quarter compared to past quarter. And the company has a pattern of positive eps growth over the past 2 years.