High dividend returns (10.56%) on underpriced UK stocks – Profitable dividends with a low price-to-per-share ratio

High dividend returns (10.56%) on underpriced UK stocks – Profitable dividends with a low price-to-per-share ratio

High-Yield, Low-P/E British Stocks Worth Considering

The British stock market is brimming with undervalued companies offering high dividends and low P/E ratios, making them attractive investments for savvy investors.

According to a recent analysis of the FTSE 100 index, The Phoenix Group, a life insurance funds and occupational pensions provider, boasts the highest dividend yield of 10.56%. Other notable mentions include British American Tobacco, Vodafone, and several companies highlighted in recent dividend stock screenings.

One such company is Dunelm Group, with a dividend yield around 6.6% and strong dividend ratings. OSB Group follows closely with a dividend yield near 6%, and good dividend safety. MONY Group and Pets at Home Group offer dividend yields of approximately 6.3% and 5.7% respectively. NWF Group and 4imprint Group provide about 5% and just above 5% dividend yields respectively.

Treatt and Seplat Energy, with yields around 3.8% to 6.3% and solid dividend metrics, are also frequently mentioned for their dividend strength and value in the UK.

Spectris, Fresnillo, and Entain, which combine good dividend yields with positive recent performance, are other best-performing dividend stocks with potentially attractive valuations.

The Vodafone stock, currently undergoing a bottom formation, has a dividend yield of 5.12% and a P/E ratio of 10.6. The Phoenix Group stock, with a P/E ratio of 11.1, may have completed a bottom formation. British American Tobacco, which has gained 20.18% this calendar year, has an attractive P/E ratio of 7.4 and a high dividend yield of 8.9%.

Investors looking for these high-yield, low-P/E stocks should consider signing up for the free BÖRSE ONLINE Outperformance Newsletter to receive dividend evaluations exclusively. BÖRSE ONLINE also recommends buying the British American Tobacco stock and the Vodafone stock with a target price of 1.05 euros.

It's worth noting that the Phoenix Group stock recently found support at its 200-day line. For more information, readers are advised to read "Rare opportunity: These value stocks and value ETFs offer an entry chance now". As always, it's recommended to check recent detailed valuations and P/E ratios individually to confirm current attractiveness.

Investors interested in high-dividend, low P/E stocks could find potential investments in companies like The Phoenix Group, Vodafone, British American Tobacco, Dunelm Group, OSB Group, MONY Group, Pets at Home Group, NWF Group, 4imprint Group, Treatt, and Seplat Energy. Particularly, British American Tobacco has a high dividend yield of 8.9% and an attractive P/E ratio of 7.4.

Moreover, for those seeking to buy stocks with promising valuations, BÖRSE ONLINE recommends British American Tobacco and Vodafone with a target price of 1.05 euros.

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