With a 5%-plus dividend yield, United Guardian, (UG), is one of the top dividend paying stocks in the Consumer Goods section of our High Dividend Stocks by Sector tables.  UG recently reported record earnings for Jan-Sept. 2009, achieving 20% growth over the same period of 2008.  Net sales were also up 8% compared to Jan-Sept. 2008.

UG negotiated significant price discounts for its main raw ingredient, which cut their cost of sales by 10%, and flowed right through to higher earnings.

The increased earnings has prompted UG to declare a $.32/share increased dividend, payable on Jan. 4, 2010, to shareholders of record on Dec. 18. This dividend brings 2009’s total dividends declared to $.60/share, a 5.77% yield at today’s $10.77 price.

UG also looks like one of the best stocks in the Personal Products group:

	United Guardian	Personal Products Industry
Debt/Equity	NO DEBT	76%
Profit Margin	26.54%	12.50%
P/E	14.87	20.29
Price/Book	3.39	5.54
ROI	35.66	13.88
ROA	21.28	9.98

UG also has a 5-year dividend growth rate of over 40%, vs. an industry average of  11.12%. Their dividend payout ratio is approx. 79%.

Disclosure: No positions yet.

Disclaimer: This article is written for informational purposes only.

Tags: best stocks, dividend, dividend growth, dividend paying stocks, dividend payout ratio, dividend yield, high dividend stocks, UG

This entry was posted on Friday, December 4th, 2009 at 11:29 am and is filed under Dividend Stocks. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.