3 Small Caps With Major Dividend Potential

It's no wonder, then, that dividend-paying stocks have returned to darling status lately. Yields as low as 2% provide a huge bump up in what your spare money pays out. Although stocks are much riskier than cash in the bank, investor memory is short, and the last year's market rally remains fresh in many people's minds. Though you and I know that stocks aren't a no-lose proposition, they certainly seemed that way until the market turmoil of the past few weeks. If you can achieve both capital gains and a cash payout, why wouldn't you take advantage? Then and nowI've been called crazy before for suggesting Fools buy anything now. With market pundits continually calling stocks "overvalued" by indexwide price-to-earnings metrics, and major uncertainty in energy, it might seem like a bad time to go dividend-hunting. But I've never much cared for wide-view market punditry; I prefer to concentrate on individual opportunities. Even in the fluffiest of markets, investors are always discounting certain stocks' potential. I'll share three of the better ideas I see right now, and tell you why they catch my eye.... Read more