Since 2008, Raytheon has generated consistent double-digit return on equity, fluctuating in the range of 15.46% to 23.30%. In 2012, its ROE was 23.30%. Over the decade, Raytheon Company (NYSE:RTN) has been a cash cow for its shareholders, producing consistent positive operating cash flow and free cash flow. In 2012, its operating cash flow was $1.96 billion while free cash flow was a bit lower at $1.54 billion. At $63 per share, Raytheon Company (NYSE:RTN) is worth around $21 billion on the market. The market values Raytheon at only 6.34 times EV/EBITDA. The dividend yield and the free cash flow yield are at 3.5% and 7.5%, respectively.
My Foolish take
Investors need to dig deeper into each business to find out the suitable stock for their own portfolios. With nice dividend yields, income investors should also consider all three stocks for their long-term income portfolios.
The article 3 Companies With 3 Great Characteristics for Your Portfolio originally appeared on Fool.com and is written by Anh HOANG.
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