5 Cheap Stocks Paying High Dividend Yields

The Toronto-Dominion Bank tops the list

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Mar 10, 2021
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As of March 10, the GuruFocus All-in-One Screener, a Premium feature, found that the following companies have low price-earnings ratios and high dividend yields.

The Toronto-Dominion Bank

The Toronto-Dominion Bank's (TD, Financial) dividend yield is 3.77% and the payout ratio is 0.48. Shares are trading with a price-earnings ratio of 12.06 and a price-book ratio of 1.58. The company's average yield was 3.51% over the past 10 years.

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The share price has climbed 30.06% over the past 12 months and is now 1.50% below the 52-week high and 86.19% above the 52-week low.

The Canadian bank has a GuruFocus profitability rating of 6 out of 10. While the return on equity of 12.8% is outperforming the sector, the return on assets of 0.74% is underperforming 52% of companies in the banks industry. Its financial strength is rated 4 out of 10. The cash-debt ratio of 4.85 is below the industry median of 1.66.

Pioneer Investments (Trades, Portfolio) is the company's largest guru shareholder with 0.04% of outstanding shares, followed by Jim Simons (Trades, Portfolio)' Renaissance Technologies with 0.03% and Jeremy Grantham (Trades, Portfolio) with 0.03%.

China Petroleum & Chemical

China Petroleum & Chemical Corp.'s (SNP, Financial) yield is 4.70%. Shares are trading with a price-earnings ratio of 11.99 and a price-book ratio of 0.65. The company's average yield was 4.68% over the past 10 years.

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The stock has risen 18.87% over the past 12 months and is now 2.05% below the 52-week high and 49.82% above the 52-week low.

The Chinese national oil company has a market cap of $69.25 billion and a GuruFocus profitability rating of 6 out of 10. The ROE of 5.58% and ROA of 2.23% are outperforming 75% of companies in the oil and gas industry. Its financial strength is rated 5 out of 10. The cash-debt ratio of 0.52 is above the industry median of 0.4.

With 0.25% of outstanding shares, Simons' firm is the company's largest guru shareholder, followed by Steven Cohen (Trades, Portfolio) with 0.02% and NWQ Managers (Trades, Portfolio) with 0.01%.

UBS Group

UBS Group AG's (UBS) dividend yield is 2.33% with a payout ratio of 0.41. Shares are trading with a price-earnings ratio of 8.98 and a price-book ratio of 1.04. The company's average yield was 3.81% over the past 10 years.

Shares have climbed 56.88% over the last 12 months and are now 3.21% below the 52-week high and 109.62% above the 52-week low.

The wealth manager has a GuruFocus profitability rank of 4 out of 10. While the ROE of 11.22% is outperforming the sector, the ROA of 0.61% is underperforming 61% of competitors in the banks industry. Its financial strength is rated 3 out of 10 with a cash-debt ratio of 0.84.

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Dodge & Cox is the company's largest guru shareholder with 2.60% of outstanding shares, followed by Charles Brandes (Trades, Portfolio) with 0.49% and Pioneer Investments (Trades, Portfolio) with 0.42%.

MetLife

The dividend yield of MetLife Inc. (MET, Financial) is 3.05% with a payout ratio of 0.32. Shares are trading with a price-earnings ratio of 10.69 and a price-book ratio of 0.73. The company's average yield was 3.12% over the past 10 years.

Shares have climbed 58.78% over the past 12 months and are now trading 2.71% below the 52-week high and 164.20% above the 52-week low.

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The mutual life insurance company has a GuruFocus profitability rating of 5 out of 10. The ROE of 7.21% and ROA of 0.71% are underperforming 51% of companies in the insurance industry. Its financial strength is rated 5 out of 10 with a cash-debt ratio of 1.09.

With 7.42% of outstanding shares, Dodge & Cox is the company's largest guru shareholder, followed by the T Rowe Price Equity Income Fund (Trades, Portfolio) with 0.79% and Diamond Hill Capital (Trades, Portfolio) with 0.64%.

CNOOC

CNOOC Ltd.'s (CEO) dividend yield is 6.87% and the payout ratio is 0.78. Shares are trading with a price-earnings ratio of 9.11 and a price-book ratio of 0.86. The company's average yield was 4.08% over the past 10 years.

Shares have risen 0.32% over the past 12 months and are currently trading 7.64% below the 52-week high and 50.12% above the 52-week low.

The Chinese offshore oil and gas exploration and production company has a GuruFocus profitability rating of 8 out of 10. The ROE of 9.3% and ROA of 5.51% are outperforming 82% of competitors in the oil and gas industry. Its financial strength is rated 6 out of 10. The cash-debt ratio of 1.07 is below the industry median of 0.4.

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Simons' firm is the company's largest guru shareholder with 0.15% of outstanding shares.

Disclosure: I do not own any stocks mentioned.

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