Churchill Downs, Luxottica and Others Analysts Are Bullish On
Here is a quick look some dividend payers in the services sector that have a consensus recommendation of analysts of Strong Buy.
Cedar Fair (NYSE: FUN) is more than 39% higher in the past six months but has pulled back about 9% from recent a multiyear high. The amusement park operator, headquartered in Sandusky, Ohio, expects to continue its record-setting momentum from 2011. It has a market cap of $1.6 billion. The dividend yield is 5.5% and its return on equity is of 140.4%. Over the past six months, the stock has outperformed competitor Six Flags Entertainment (NYSE: SIX).
Churchill Downs (NASDAQ: CHDN) shares are up about 39% from six months ago, despite pulling back more than 2% from a recent multiyear high. The Louisville, Ky.-based gaming and entertainment company posted record revenues in the first quarter. It has a market cap of $1.0 billion and a dividend yield of 1.0%. The stock has outperformed competitors Caesars Entertainment (NASDAQ: CZR) and Pinnacle Entertainment (NYSE: PNK) year to date.
Core-Mark Holding (NASDAQ: CORE) is up about 22% in the past six months, including more than 12% in the past week following a better-than-expected first-quarter report. The San Francisco-based supplier to convenience stores and supermarkets has a market cap of $487.3 million, a dividend yield of 1.6% and a long-term EPS growth forecast of 14.0%. Because of the recent surge, the stock has outperformed the broader markets over the past six months.
UK-based InterContinental Hotels Group (NYSE: IHG) has seen its share price rise more than 31% since the beginning of the year, recently hitting a new multiyear high. First-quarter results beat analysts' expectations. The company has a $6.9 billion market cap and a return on equity of 110.7%. The dividend yield is 2.3%. The stock has outperformed peers Hyatt Hotels (NYSE: H) and Marriott International (NYSE: MAR) over the past six months.
The share price of Luxottica Group (NYSE: LUX) is up more than 22% in the past six months, despite pulling back more than 7% in the past week. This Italian producer of Rayban and Oakley sunglasses saw first-quarter sales surge on strength in emerging markets. The $16.2 billion market cap company has a dividend yield of 1.8% and a long-term EPS growth forecast of 14.5%. Over the past six months, the stock has outperformed the likes of Coach (NYSE: COH) and Tiffany (NYSE: TIF).
Shares of Macquarie Infrastructure (NYSE: MIC) have hit a number of new multiyear highs since the beginning of the year, and the stock is now more than 43% higher than a year ago. The New York-based company saw strong first-quarter results from all its operating entities. It has a dividend yield of 2.3% and a market cap of $1.6 billion. The operating margin is higher than the industry average. Over the past six months, the stock has easily outperformed the broader markets.
WPP Group (NASDAQ: WPPGY) is trading more than 24% higher than six months ago despite pulling back about 4% in the past week. The Dublin-based advertising agency recently has reported strong revenue growth in emerging markets. The $16.3 billion market cap company has a dividend yield of 3.0%. The stock has outperformed rivals such as Interpublic Group (NYSE: IPG) and Omnicom (NYSE: OMC), as well as the broader markets, over the past six months.
Bullish: Investors may want to consider the following trades that are also services providers highly recommended by analysts:
- Liquidity Services (NASDAQ: LQDT) is up about 70% year to date.
- Titan Machinery (NASDAQ: TITN) is up more than 46% higher year to date.
- BioScrip (NASDAQ: BIOS) is more than 41% higher year to date.
- Hertz Global Holdings (NYSE: HTZ) is more than 23% higher year to date.
Traders may prefer to consider these alternative positions in other sectors:
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Tags: BioScrip, Cheniere Energy, Cirrus Logic, Coach, Consumer Goods Stocks, dividend stocks, Hertz Global Holdings, Hyatt, InterContinental Hotels, Interpublic Group, Inventure Foods, Liquidity Services, Luxottica, Macquarie Infrastructure, marriott, omnicom, pharmacyclics, Tiffany, Titan Machinery, WPP Group