5 Oversold Dividend Stocks With High Liquidity Growth
Published Jun 12, 2011 on Seeking Alpha

A company’s liquidity is vital to its ability to continually pay a dividend. If you’re considering a stock for its dividend, be sure to check the company’s liquidity first. To illustrate this, we ran a screen on Friday’s technically oversold stocks, with RSI(14) readings below 40. We searched for those that pay a handsome dividend yield (between 2 and 7%, based on the most recent quarter) under a sustainable payout ratio (of less than 35% of earnings). Among these stocks, we searched for those with the best 10-year track record for improving liquidity. We found those with 10-year compounded annual growth rates (CAGR) for current assets exceeding the 10-year CAGR for current liabilities by at least 5%. Interactive Chart: Press Play to compare changes in analyst ratings over the last two years for the top six stocks mentioned below. Analyst ratings sourced from Zacks Investment Research. Your browser does not... Read more