7 Must-Own Dividend Stocks

Stocks with large market caps tend to be household names, a good source of modest growth, and make really strong investments, if you can get them at the right price. The key is to pay attention to how a large cap stock is priced relative to its earnings and its forecast for growth. Many large cap stocks pay dividends as well, further adding to their potential upside and generating stable income. The stocks on this deliver on all three parameters - they are large cap companies with low forward P/E ratios, modest EPS growth, and they pay dividends. A portfolio of these seven stocks will most likely outperform the 10-year Treasuries and has the potential to deliver strong capital gains. Microsoft Corp. (MSFT) is an application software company with a $235.54 billion market cap. The company boasts a forward P/E ratio of 9.24 and pays a 2.86% dividend yield. Its... Read more