Income Ideas: 16 Undervalued High Yield Stocks With Good Dividend Coverage Ratios

If you are looking to increase your portfolio’s income profile, then you may find this article to be a good starting point for your own analysis.
To construct this list we looked for companies with dividend yield above 2%, a payout ratio below 50% and trading below book value, i.e. P/B < 1. Once we had gathered this universe of over 50 stocks, we went trough each of these names’ operating and levered free cash flows and kept those with:

Operating cash flow/annual dividend > 1.5
Levered free cash flow/annual dividend > 1.5... Read more