Top 10 Dow Dividend Stocks for February

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Top 10 Dow Dividend Stocks for February

Top Dividend Stocks #6: Cisco (CSCO)

Cisco185new 150x150 Top 10 Dow Dividend Stocks for FebruaryDividend Yield: 3.43%
YTD Performance: 
-1.32%
52-Week Return: +9.87%

Cisco Systems (CSCO) has moved up several spots on our list of dividend stocks for February, as it now carries a significant yield of 3.43%. After peaking over $26 in mid-2013, CSCO has been trading lower, though it is pretty much flat on a year-to-date basis.

On the bright side, when CSCO reported its fourth-quarter earnings earlier this month, earnings per share came in slightly better than expected — at 42 cents versus the consensus of 41 cents. The company also announced that it would be increasing its quarterly distribution by 12%, from 17 cents per share to 19.

Cisco has underperformed the S&P 500 over the course of the last year, as have many dividend stocks, but CSCO appears to be fairly cheap, with a forward P/E ratio of just 12.4. Management stated that they expect a decline in sales of between 6% and 8% for the current quarter, but for those investors that are willing to wait, CSCO is willing to pay you an annual dividend of 76 cents for your patience.


Article printed from InvestorPlace Media, http://investorplace.com/2014/02/top-10-dow-dividend-stocks-february/.

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