10 Oversold, Dividend Stocks Backed By Impressive Profitability
Published Aug 24, 2011 on Seeking Alpha

Dividends are a great way to improve portfolio returns when volatility is making it easier to squeeze water out of a rock than getting a decent return in the markets. When looking at dividend stocks, one metric to always review is a firm’s net profit margin. Dividend stocks that can keep a healthy net margin and expand it over time should be rewarded with share price growth along with making dividends more reliable. We ran a screen for dividend stocks that have retraced at least 20% from their 52-week highs and have strong profitability (net margin TTM>15%). The list is ranked from lowest to highest by net margin TTM.
1. Portugal Telecom SA (PT) Sector Communication Services Industry Telecom Services Market Cap $7,647M Beta 0.76 The company offers telecommunications services in Brazil, Portugal, and Africa. The firm's net margin (TTM) is 153.83%. PT's dividend yield is 11.04%. The stock is... Read more