10 Dividend Growth Stocks With A Single Digit P/E

We all want to find the best value when we buy a stock. There are many ways people value a stock. Ultimately, true value is defined by future cash flows. The catch is no one knows exactly what the future cash flows will be. As a result, some go to great lengths to estimate future cash flows, while others use historical metrics to estimate cash flows or to compare stocks. One of the oldest metrics used is the price earnings (P/E) ratio. It is calculated as the market value per share divided by earnings per share (EPS). A high P/E ratio infers that investors expect strong future earnings growth. Conversely, a low P/E suggests limited future growth. These are the companies that have historically been in a position to return large sums of cash to their investors as dividends. This week week, I screened my dividend growth stocks database for ultra-low P/Es. Below are 10 dividend  stocks stocks with a P/E less than 10: Chevron Corporation (CVX) Yield: 3.1% | P/E: 9.8 Chevron Corporation is a global integrated oil company (formerly ChevronTexaco) that has interests in exploration, production, refining and marketing, and petrochemicals. RLI Corp. (RLI) Yield: 2.0% | P/E: 9.8 RLI Corp., based in Peoria, IL, provides selected property, casualty, and surety insurance. Lockheed Martin Corp. (LMT) Yield: 3.9% | P/E: 9.7 Lockheed Martin Corp.12... Read more