Screen For Dividend Stocks In June 2020

The Best Fixed Deposits of May 2020

Do you know how to screen for dividend stocks in the stock market? One of the ways I use to find dividend stocks is to use a tool called a stock screener. Most stock screeners are available for free. A few websites that I know of that offers free stock screeners are FSMOne, Yahoo and Singapore Exchange.

My favorite stock screener is from Stocks Café. With a paid subscription, I can save my preferred stock screening criteria and not having to enter them every time. Stocks Café is also where I managed my stock portfolio.

Every end of the month, I will run the Stocks Café stock screener which gives me a list of stocks that fulfill my dividend criteria. I fall into the medium risk type of investor and thus I never looked at stocks with dividend yield more than 10%. Below are the criteria that I used to identify dividend stocks.

  • Current Yield (%) >= 5 and <= 10
  • Price / Earnings <=20
  • Price / Book <= 3
  • Market Capitalization >= 1B

Dividend Yield

As a dividend investor, one criteria that I will definitely like to have is the dividend yield. I usually screen for stocks that gives a dividend yield of between 5% to 10%. We need to be careful with stocks that provides extremely high dividend yield and do our due diligence to further investigate the company that it is not borrowing money to pay out dividends.

P/E Ratio (Price to Earnings Ratio)

We also refer P/E ratio as Price to Earnings ratio. It is calculated by dividing the current market price of the stock by its earning per share (EPS). It also means how much investors are willing to pay per share of the company. My preferred settings are stocks less than 20x earnings.

P/B Ratio (Price to Book Ratio)

We refer P/B ratio as Price to Book ratio. P/B ratio is calculated by dividing the price per share by book value per share. A value lower than 1 is considered as a good P/B ratio and could mean that the stock is undervalued. My preferred P/B Ratio is below 3.

Market Capitalization USD (in millions)

If you have followed my previous stock analysis of companies, one of the criteria I often looked at is the market capitalization of the company. Market capitalization refers to the total value of all a company’s shares of stock. I currently look at companies with market capitalization above one billion.

Top Dividend Yielding Stocks

As retail malls and shops start to open up after circuit breaker, the stock market has started its recovery. This can be seen from the Straits Times Index stock chart below.

Straits Times Index 28 Jun 2020

Below are the top dividend yielding stocks as of 28th June 2020. I believe you will see some REITs that you have been eyeing for before the stock market had crashed. Even though the stock prices have started the recovery, the current yield is still attractive.

NameCurrent Yield %P/EP/BMarket Cap
CromwellReit EUR9.7149.050.8141.1B
CromwellReit SGD9.519.320.8481.7B
CDL Hospitality Trust8.75711.080.6741.3B
OUE Commercial Reit8.3814.960.6472.1B
CapitaR China Trust7.7348.260.8261.6B
Starhill Global Reit6.52419.730.5941.1B
ComfortDelGro6.44114.271.233.3B
UOB6.3888.190.85733.7B
SATS6.37614.812.0593.3B
SPH6.15410.290.6082.1B
Frasers Logistics & Industrial Trust6.09311.481.2954B
DBS6.0525.71.08652.9B
Hong Leong Finance6.04810.750.581.1B
Jardine Cycle & Carriage66.630.8648B
OCBC Bank5.8636.190.87139.8B
Yanlord Land5.8623.410.4112.2B
TCIL HK$5.8217.860.3363.8B
Olam Intl5.6748.510.8344.5B
Bukit Sembawang5.64113.270.7631B
Suntec Reit5.58110.280.6754.1B
Genting Singapore5.26313.311.1379.2B
CapitaCom Trust5.13315.180.9396.7B
SPH REIT5.11914.070.9342.4B

Last, I just want to mention again that the above list is for reference only and we should do our homework before buying into the stock simply for the dividend yield.

My Sweet Retirement – How Much Are You Paying For It?

Iceberg Illusion of A Sweet Retirement

When I first started My Sweet Retirement, I wrote about The Path to Financial Freedom which is about the underlying hard work and dedication to achieve our own determined success.

All of us define our own success differently. Some people define success as climbing to the top of the corporate ladder. Entrepreneurs define success as being their own boss and not having to work for others. For a few financial bloggers I knew, they often define achieve FIRE (Financial Independence, Retire Early) as our success.

The recent post “How Much Are You Paying For Financial Independence?” written by Brian has inspired me to reflect on the effort and hardship that I have put in towards my vision of a sweet retirement.

My past experience of being retrenched without any compensation has sparked me to scrimp, save and invest hard over the years. Prior to being retrenched, I have no concept of building an emergency funds for rainy days as I never expect retrenchment to fall onto me. During the period when I was jobless, I saw my savings falling as there are still expenses to pay such as utilities bills and living expenses.

During the days when I was jobless, I limited my spending on meals to S$2.50 per meal. After sending hundred of resumes, I found a job after three months. The job was not ideal and working hours was long, as much as 20 hours per day. Most of the time, I left office at 4 am in the morning. I quit after 6 months as my body could no longer sustain the long working hours.

The COVID-19 pandemic has reconfirmed that I have embarked on the right path to my sweet retirement. You may have read from the news that almost 800 and more businesses closed down during the COVID-19 period. Businesses could not operate because of “Circuit Breaker” measures and only essential services could operate. Companies had to lay off employees and they are unable to foresee when they are allowed to open again. I am ready this time as I have my emergency fund ready in Singapore Savings Bonds in the event I am retrenched.

You probably thought that I am working at home and my working hours are shorter than normal. The sad truth is that my company is in the business classified as essential service and I have to work longer hours during this period. I have to work 12 hours night shift on certain days. This is also probably why I dislike work because it takes away time from myself with my family. The tiredness build up from the long working hours made me reiterate to myself not to lose focus and continue my routine of saving, spending prudently and investing for more passive income.

During this difficult period, I continue to save part of my monthly salary. As the interest rates of Singapore Savings Bond has fallen drastically, there are alternative options such as Singlife Account and CIMB FastSaver which both offer higher interest rates.

There is a price to pay for a sweet retirement and I am paying for it now.

How are you working towards your sweet retirement?

Screening For Dividend Stocks In April 2020

Screening For Dividend Stocks In April 2020

Last month, the stock market had crashed due to the impact of COVID-19. Since then, the stock market has started its recovery when news of government from different countries started to provide stimulus budget to revive the economy. During the crisis, I have picked up OCBC Bank, Singtel, US Manulife REIT and added more of CapitaMall Trust when their stock prices fell. If you didn’t know, I am a dividend investor. Thus, I usually look out for stocks with attractive dividend yield that provides me with endless dividends many years ahead. The stock market crash has provided me with such an opportunity.

I will run the Stocks Café stock screener every month which gives me a list of stocks that fulfill my dividend criteria. I fall into the medium risk type of investor and thus I never looked at stocks with dividend yield more than 10%. Below are the criteria that I used to identify dividend stocks.

  • Current Yield (%) >= 5 and <= 10
  • Price / Earnings <=20
  • Price / Book <= 3
  • Market Capitalization >= 1B

Below are the top dividend yielding stocks as of 10th April 2020. I believe you will see some REITs that you have been eyeing for before the stock market had crashed. Even though the stock prices have started the recovery, the current yield is still attractive.

NameCurrent Yield %P/EP/BMarket Cap
Mapletree NAC Trust9.9814.440.6112.8B
OUE Commercial REIT8.71113.380.6182B
Ascendas-iTrust8.6445.291.0841.4B
DBS7.8377.650.99848.7B
Frasers Logistics and Industrial Trust7.5689.050.9742.1B
CapitaRetail China Trust7.5578.460.8451.6B
Frasers Commercial Trust7.3857.910.7941.2B
Suntec REIT7.379.210.6053.6B
CapitaMall Trust7.1258.890.7986.2B
Ascendas REIT7.03817.71.2910.1B
Yanlord Land6.7332.970.3582B
ComfortDelgro6.52712.251.2523.2B
Frasers Centrepoint Trust6.2759.410.872.2B
UOB6.1977.740.84933.4B
SIA Engineering6.1810.441.292B
CapitaCommercial Trust6.08212.770.7845.6B
SPH REIT6.08111.840.7862.1B
TCIL HK$6.04417.20.3293.7B
SATS5.93815.92.2113.6B
OCBC Bank5.9227.910.86339.4B
Jardine Cycle & Carriage5.8336.710.8758.1B
Mapletree Commercial Trust5.5955.450.9555.6B
Yangzijiang Ship Building5.4355.90.6013.6B
Guocoland5.3855.720.3741.4B
Olam International5.2089.010.8524.6B
SPH5.19512.190.722.5B
Frasers Property5.1287.320.4533.4B
Lonza5.0425.720.6595.9B

Last, I just want to mention again that the above list is for reference only and we should do our homework before buying into the stock simply for the dividend yield.