6 Healthcare Companies With Very Healthy Dividends Today

Wall St. Watchdog reveals large cap companies in the Healthcare sector that pay a large dividend.  Criteria for the screen are:

  • A market capitalization of at least $50 billion
  • The stock trades on an American exchange
  • Its 5-year average dividend yield is greater than 3%
  • Its current P/E (excluding extraordinary items) for the last fiscal year is greater than 0.01.  This means that the company’s normal operations are generating a positive net income, which should provide some cash cushion for future dividend payments.  Extraordinary items are excluded from this calculation because we’re using the 5-year average dividend yield as a proxy for dividend payments, and so any extraordinary items incurred in a particular year should be smoothed out over five years.
  • The company operates in the Healthcare sector

Our screen returned 6 companies that met these criteria.  Following is some information on them:

  • Pfizer Inc. (NYSE:PFE): This company has a 5-year average dividend yield of 4.84%. It generated $67,809,000,000 in revenues over the last fiscal year, which represents a change of35.59% over the previous year. The stock recently traded at $20.67, its current P/E (excluding extraordinary items) is 19.60, and its market capitalization is $163,316,400,000. About the company: Pfizer Inc. is a research-based, global pharmaceutical company that discovers, develops, manufactures, and markets medicines for humans and animals. The Company’s products include prescription pharmaceuticals, non-prescription self-medications, and animal health products such as anti-infective medicines and vaccines. Competitors to Watch: Johnson & Johnson (NYSE:JNJ), Merck & Co., Inc. (NYSE:MRK), GlaxoSmithKline plc (NYSE:GSK), Bristol Myers Squibb Co. (NYSE:BMY), Eli Lilly & Co. (NYSE:LLY), Abbott Laboratories (NYSE:ABT), Novartis AG (NYSE:NVS), Mylan Inc. (NASDAQ:MYL), Amgen, Inc. (NASDAQ:AMGN), and Sanofi-Aventis SA (NYSE:SNY)
  • AstraZeneca plc (ADR) (NYSE:AZN): This company has a 5-year average dividend yield of 4.55%. It generated $33,269,000,000 in revenues over the last fiscal year, which represents a change of1.42% over the previous year. The stock recently traded at $49.50, its current P/E (excluding extraordinary items) is 8.85, and its market capitalization is $67,522,240,000. About the company:  AstraZeneca PLC is a holding company. Through its subsidiaries, the Group researches, manufactures and sells pharmaceutical and medical products. The Group focuses its operations on seven therapeutic areas: Gastrointestinal, Oncology, Cardiovascular, Respiratory, Central Nervous System, Pain Control, Anaesthesia and Infection.
  • GlaxoSmithKline plc (ADR) (NYSE:GSK): This company has a 5-year average dividend yield of 4.40%. It generated $45,435,834,432 in revenues over the last fiscal year, which represents a change of0.08% over the previous year. The stock recently traded at $42.41, its current P/E (excluding extraordinary items) is 37.05, and its market capitalization is $108,291,775,025. About the company:  GlaxoSmithKline plc is a research-based pharmaceutical group that develops, manufactures and markets vaccines, prescription and over-the-counter medicines, as well as health-related consumer products. The Group, which also provides laboratory testing and disease management services, specializes in treatments for respiratory, central nervous system, gastro-intestinal and genetic disorders
  • Sanofi SA (ADR) (NYSE:SNY): This company has a 5-year average dividend yield of 3.88%. It generated $46,117,324,571 in revenues over the last fiscal year, which represents a change of4.18% over the previous year. The stock recently traded at $39.16, its current P/E (excluding extraordinary items) is 14.29, and its market capitalization is $105,413,552,346. About the company:  Sanofi-Aventis is a global pharmaceutical company that researches, develops and manufactures prescription pharmaceuticals and vaccines. The Company develops cardiovascular, thrombosis, metabolic disorder, central nervous system, internal medicine and oncology drugs, and vaccines.
  • Merck + Co., Inc. (NYSE:MRK): This company has a 5-year average dividend yield of 3.71%. It generated $45,987,000,000 in revenues over the last fiscal year, which represents a change of67.66% over the previous year. The stock recently traded at $35.10, its current P/E (excluding extraordinary items) is 67.78, and its market capitalization is $108,339,100,000. About the company:  Merck & Co., Inc. is a global pharmaceutical company that discovers, develops, manufactures, and markets a broad range of human and animal health products. Merck’s products include a treatment for elevated cholesterol, a treatment for male pattern hair loss, a preventive treatment for osteoporosis, a treatment for hypertension, and a treatment for allergic rhinitis.
  • Novartis AG (ADR) (NYSE:NVS): This company has a 5-year average dividend yield of 3.19%. It generated $51,561,000,000 in revenues over the last fiscal year, which represents a change of14.32% over the previous year. The stock recently traded at $60.45, its current P/E (excluding extraordinary items) is 14.37, and its market capitalization is $166,896,600,000. About the company:  Novartis AG manufactures pharmaceutical and consumer healthcare products. The Company produces pharmaceuticals for cardiovascular, respiratory and infectious diseases; oncology, neuroscience, transplantation, dermatology, gastrointestinal and urinary conditions, and arthritis; vaccines and diagnostics; vision, and animal health products.

(Note: Selected financial data are sourced from screener.co.  All data are assumed to be accurate.)

Get Actionable Investing Insights: Check Out Wall St. Cheat Sheet’s newest Feature Trades of the Month!