3 Reasons to Invest in Reed Elsevier NV

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The Internet has not destroyed all publishers as Reed Elsevier NV ENL is up for the last week, month, quarter, six months, and year of market action.

A previous article on Benzinga detailed the reasons to be bullish about Pearson Publishing, "3 Reasons to be Bullish about Pearson Publishing." Like Pearson Publishing PSQ, Reed Elsevier has a very lucrative niche in business and scientific information solutions that has held up well against The Internet and mobile devices. Investors should expect that to continue.

Projected earnings growth is bullish.

At present, earnings-per-share increasing at a rate of 4.30 percent. That is expected to rise to 6 percent over the next half decade. An increase in earnings of more than 25 percent presents a very positive outlook.

These earnings are made in a very profitable manner, to say the least.

Reed Elsevier NV has a profit margin of 37.20 percent. Apple AAPL has a profit margin of 21.60 percent. The profit margin for Microsoft MSFT is 25.40%. Old school publishing beats the high tech behemoths here in this vital indicator.

Reed Elsevier NV is also more generous with its shareholders than Apple or Microsoft.

The dividend yield for Apple is 1.84 percent. For Microsoft, the dividend yield is 2.50 percent. Reed Elsevier NV has a dividend yield of 3.79 percent.

Making all of that even more impressive is that Reed Elsevier NV has no debt.

Reed Elsevier NV is now trading around $46, close to its 52-week high. The short float is miniscule, so few on Wall Street are betting that it will fall in price. For long term investors looking for a solid income stock that is up nearly 30 percent in the last year of market action, Reed Elsevier NC is worth the read!

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