June is bustin’ out all over, in more ways that the Rodgers and Hammerstein musical anticipated! Here, we present the averages of the stocks that made it through our detailed qualifications process — whittled down from 754 to 197 candidates.
As dividend investors know, it’s best to buy with the averages in mind so as to reduce risk and invest in higher quality companies. Thus we present our monthly sector averages to help further eliminate candidates for a more manageable pool to research further.
How does this work, you may ask? Taking a look at the chart below, on the Consumer Defensive line, we see that the average PE ratio is 24. Finding a stock with a PE below 24 in that sector, may be a good value. The average reliability rating for the sector is 2.5, so look for a stock that has reliability above that. Finally, concluding our example, the 10 year DivSys score for the Consumer Defensive sector is 18.5, so look for a stock higher than that!