5 Global Buffett-Munger Stocks With High Dividend Yields

Stocks with predictable earnings growth from Korea, India and Africa

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Jan 07, 2021
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According to the Buffett-Munger Screener, a Premium feature of GuruFocus, five companies based in Korea, India and Africa with a GuruFocus business predictability rank of five stars and a high dividend yield are Korea Environment Technology Co. Ltd. (XKRX:029960, Financial), Power Grid Corp. of India Ltd. (BOM:532898, Financial), Safaricom PLC (NAI:SCOM, Financial), Soulbrain Holdings Co. Ltd. (XKRX:036830, Financial) and PSG Konsult Ltd. (JSE:KST).

The Buffett-Munger Screener applies Berkshire Hathaway Inc. (BRK.A)(BRK.B) co-managers Warren Buffett (Trades, Portfolio) and Charlie Munger (Trades, Portfolio)'s four-criterion approach to value investing. Buffett said that Berkshire looks for four key attributes of good companies at fair prices: understandable business, favorable long-term prospects, honest and competent management and attractive share prices.

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Key Buffett-Munger Screener criteria include strong and predictable earnings growth, expanding profit margins, no meaningful debt incurrence while growing business and attractive price-earnings-to-growth valuation.

The following video discusses how to access the Buffett-Munger Screener page, select the desired regions, and filter the results based on predictability rank.

Korea Environment Technology

Shares of Korea Environment Technology traded around 9120 won ($8.33), resulting in a PEG ratio of 0.66. The stock is fairly valued based on a price-to-GF Value ratio of 1.03 while its dividend yield of 5.88% outperforms over 90% of global competitors.

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The South Korean industrial company provides waste collection, transportation and disposal services. GuruFocus ranks the company's profitability 10 out of 10 on several positive investing signs, which include a return on assets that outperforms over 93% of global competitors and an operating margin that has increased approximately 12% per year on average over the past five years.

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Power Grid

Shares of Power Grid traded around 192.15 Indian rupees ($2.67), resulting in a PEG ratio of 0.76. The stock's dividend yield of 4.61% outperforms 72.4% of global competitors.

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The Indian utility company operates services through its Transmission, Telecom and Consultancy business segments. GuruFocus ranks Power Grid's profitability 8 out of 10, driven by profit margins and returns outperforming over 85% of global competitors.

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Safaricom

Shares of Safaricom traded around 34.4 Kenyan shillings (31 cents), resulting in a PEG ratio of 1.22. The stock has a dividend yield of 4.07% and a price-to-GF Value ratio of 1.07.

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GuruFocus ranks the Kenyan telecommunications company's profitability 9 out of 10 on several positive investing signs, which include profit margins and returns near 10-year highs.

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Soulbrain

Shares of Soulbrain traded around 44,850 won ($40.85), resulting in a PEG ratio of 0.18. The stock's dividend yield of 3.34% outperforms approximately 80% of global competitors.

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GuruFocus ranks the Korean technology materials company's profitability 9 out of 10 on several positive investing signs, which include a high Piotroski F-score of 8 and an operating margin that has increased approximately 10% per year on average over the past five years and is outperforming over 85% of global competitors.

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PSG Konsult

Shares of PSG Konsult traded around 9 South African rand (58 cents), resulting in a PEG ratio of 1.64. Even though the company's dividend yield of 2.56% underperforms over 70% of global competitors, PSG Konsult's stock is modestly undervalued with a price-to-GF Value ratio of 0.72.

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GuruFocus ranks the South African asset management company's profitability 8 out of 10 on several positive investing signs, which include a return on equity that outperforms 91% of global competitors and an operating margin that has increased approximately 3.9% per year on average over the past five years.

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See also

Table 1 lists the total number of Buffett-Munger stocks for each region covered by GuruFocus as of Thursday.

Region USA Asia Europe Canada UK / Ireland Oceania Latin America Africa India
Buffett-Munger Stocks 17 105 82 0 29 2 19 4 30

Table 1

Disclosure: No positions.

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