Dow Jones Review: United Technologies
The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics around the investing world.
Over the next couple of weeks, John and David will be revisiting some calls they made on individual stocks of the Dow Jones Industrial Average. Today, they're checking out United Technologies. This company is down around about 1% in 2012, compared with a 4% or so gain for the Dow average as a whole. David said he thought United Technologies would outperform the market over a five-year period. So far, it's lagging behind. The stock has tapered off a bit over the past few months, and that could be the result of some fear over a global economic slowdown that's caused the stocks of Honeywell and Eaton to fall, too.
David is sticking with his outperform call. United Technologies is a leader in a number of different industries, from elevators to aircraft engines. And it generates lots of cash flow from those businesses. It sports a 2.9% yield, and the dividend should continue to grow around 10% per year. That's a recipe to beat the market.
United Technologies currently pays a very impressive dividend. If you'd like to learn about some additional high-yielding stocks, The Motley Fool has compiled a special free report outlining our nine top dependable dividend-paying stocks. It's called "Secure Your Future With 9 Rock-Solid Dividend Stocks." You can access your complimentary copy today at no cost! Just click here to discover the winners we've picked.
The article Dow Jones Review: United Technologies originally appeared on Fool.com.
John Reeves, David Meier, and The Motley Fool have no positions in the stocks mentioned above. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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