Value Stocks at Loyal3? How about Kellogg’s?


Loyal3 has a decent offering of quality, dividend-paying companies.  However, the stock market is hitting new highs which means a lot of stocks are also near all-time high prices.  When searching for a “good” price, it is it difficult when stock prices keep climbing.  So how does an investor find a well-priced stock that is available on Loyal3?

While there are many data points to look at when researching a stock, a common indicator for relative price is the P/E ratio.  Currently, many stocks have high P/E ratios due to the high prices.  Finding a quality company with a low P/E ratio is a hard find but they do exist.  On Loyal3, Kellogg Company (K) touts a P/E of 12.9.  That is less than the industry average of 20 and the S&P 500 average of 18.3 according to Morningstar.  Also, K’s 12.9 P/E is lower than its 5-year average of 16.1.

Looking further at K, it pays a 2.7% dividend with a 5-year average of 3%.  While K isn’t a dividend aristocrat with consistent annual dividend increases, it has been paying dividends since 1925 according to Kellogg’s investor relations website.  K’s payout ratio is also at a 10-year low at 34%.  Additionally, K has relatively low volatility with a .53 beta.

While Kellogg’s is well known for its breakfast offerings, it also sells snack foods such as Keebler products, granola bars, cracker chips, fruit snacks, veggie burgers, and Pringles chips.  Here’s a link to the Kellogg Company Brand Portfolio:

If you’re looking for a safe, value, dividend-paying stock on Loyal3, K may suit your needs.