There are no safe havens in the stock market. Every stock carries risk. But some less than others. This column features stocks that have shown one or more of the following characteristics: less volatility, better earnings, larger market caps, safe and increasing dividends. In these times of turmoil, our goal is to show readers better opportunities for investing with fewer risks.

August 15, 2011 - Scripps Networks Interactive, Inc. (SNI-NYSE) operates as a lifestyle content and Internet search company in the United States and internationally. It has television networks and a collection of Internet businesses.

Most likely you've got a favorite show on HGTV. House Hunters is one of the more popular ones, taking viewers around the world to look at homes or apartments at varying price points. Holmes on Homes garners interest as well as the very likable home repair expert usually takes out past mistakes made by other contractors and leaves a picture perfect residence. Other shows included Selling New York, Divine Design, Income Property, HGTV Design Star, The Antonio Treatment, and The Outdoor Room With Jamie Durie. The company announced this morning (August 15) that it was buying 50% of UKTV, one of the United Kingdom's leading multi-channel television programming companies. Many of the UK programs are similar to HGTV's offerings, focusing on lifestyle, entertainment and factual programs. Before the recent acquisiton, the media networks represented 90% of 2010 revenues. Its online sites include BizRate, Beso, and Tada. In June of this year, it sold Shopzilla.

Scripps delivered increasing earnings each year since it went public in 2008, in the worst of the recession. The first year ended at $1.63, then 2009 was $1.65. Last year, the total was $2.39. This year, 13 analysts see $2.79, then forecast a jump to $3.27 for 2012. Earnings for the third quarter are projected to be 66 cents vs 59 cents last year in the third period. For the final quarter, expect 79 cents compared to 69 cents in last year's fourth.

Revenues dipped from 2008 to 2009, going from $1.591 billion to $1.54 billion. Last year, they jumped by 34% to $2.07 billion. This year, 12 analysts have a consensus estimate of $2.12 billion (up 2.6%), then see $2.28 billion for 2012 (up another 7.5%). Of course, these numbers were forecast before the just announced UKTV purchase.

Conservative investors like to drill down to the balance sheet to see how strong a company is. Scripps looks pretty good on paper with only 32% of capital from debt. Financial Strength is rated A. And there's over $700 million in cash. Furthermore, the board is sending some of that to shareholders. The second quarter dividend was raised 33% to 10 cents a share, making the annual payout 40 cents or a yield of .9%. The company also recently announced a $1 billion stock buyback program. About one-third of that money will be used to buy Class A shares from Edward W. Scripps Trust, the rest on shares trading in the open market. The Trust owns 93.4% of the voting stock.

Essential numbers: Trailing P/E is 17.5 while Forward P/E is 13. Price to sales ratio is 3.18. Price to book is 4.12. Operating margin for the last 12 months was 38.59% and Profit margin was 18.89%. Return on equity was a notable 31.7%. Return on assets was 16.2%. Total cash per share is $4.41. Total debt is $884.47 million. Total debt to equity is 43.14%. Current ratio is 8.04 million. Book value per share is $10.37. Beta is 1.15. In the last 52 weeks, the stock is up 1.76%. There are 161.76 million shares Outstanding with a Float of 54.5 million. Institutions have 67% of the Float. Insiders own 30% of the stock.

All networks run on advertising. When the economy weakens, advertising dollars dry up. It's a major consideration for investing in any network stock. As long as the economy continues to recover, expect more advertising dollars to find their way on to the air waves. Scripps programming will definitely attract its fair share. But if the U.S. (and now the UK) goes into a double dip recession, the projected numbers for Scripps will have to be pared.

- Company Web site: www.scrippsnetworks.com

- Ted Allrich