High Dividend Yield Stocks For 2013 ..........

As we all know that High Dividend Yield Stocks can be consider as a safe haven where safety has greater priority compared to high returns. Specially, when the market remains volatile and lot of uncertainty arises due to headwinds coming from Domestic and Globally. Investors can still get a decent return on the Investment made in High Dividend Yield Stocks. Investing in a such kind of High Dividend paying companies is also one of Value Investing Strategy.

Best High Dividend Yield Stocks
Sr. No	Company Name	Sector	Latest Price (Rs)	Face Value (Rs)	Dividend Per Share (Rs)	Dividend (%)	Dividend Yield (%)
1	HCL Infosystems Ltd.	IT – Hardware	43.45	2.00	8.00	400.00	18.41%
2	Oil India Ltd	Oil Exploration	488.95	10.00	47.50	475.00	9.71%
3	SRF Ltd.	Textile – Manmade  Fibres	228.65	10.00	14.00	140.00	6.12%
4	Indiabulls Financial Services Ltd.	Finance – NBFC	231.40	2.00	13.00	650.00	5.62%
5	GHCL Ltd.	Chemicals	37.85	10.00	2.00	20.00	5.28%
6	Andhra Bank	Bank – Public	111.10	10.00	5.50	55.00	4.95%
7	Corporation Bank	Bank – Public	416.30	10.00	20.50	205.00	4.92%
8	Balmer Lawrie & Company Ltd.	Diversified	617.35	10.00	28.00	280.00	4.54%
9	Aarti Industries Ltd.	Chemicals	79.25	5.00	3.50	70.00	4.42%
10	KCP Ltd.	Cement & Construction Materials	34.45	1.00	1.50	150.00	4.35%
11	Graphite India Ltd.	Electrodes & Welding Equipment	83.65	2.00	3.50	175.00	4.18%
12	Deepak Fertilisers & Petrochemicals Corpn. Ltd.	Fertilizers	133.00	10.00	5.50	55.00	4.14%
13	Union Bank Of India	Bank – Public	200.40	10.00	8.00	80.00	3.99%
14	Indian Bank	Bank – Public	192.00	10.00	7.50	75.00	3.91%
15	Banco Products (India) Ltd.	Auto Ancillary	65.80	2.00	2.50	125.00	3.80%
16	Syndicate Bank	Bank – Public	112.70	10.00	3.80	38.00	3.37%
17	PSL Ltd.	Steel & Iron Products	60.30	10.00	2.00	20.00	3.32%
18	Rural Electrification Corpn Ltd	Finance Term Lending	226.95	10.00	7.50	75.00	3.30%
19	Jammu & Kashmir Bank Ltd.	Bank – Private	1020.70	10.00	33.50	335.00	3.28%
20	Power Finance Corpn. Ltd.	Finance Term Lending	196.20	10.00	6.00	60.00	3.06%
21	Bajaj Holdings & Investment Ltd	Finance – Investment	833.20	10.00	25.00	250.00	3.00%

Value Investors look at the Intrinsic Value of a firm. They hold stocks for long term and look to gain from dividends, capital appreciation, buybacks, bonus issues etc. One of the indicators of a firm’s value to the shareholders is its dividend yield.
Dividend:
A sum of money paid regularly (typically quarterly) by a company to its shareholders out of its profits (or reserves). Dividends are mostly paid quartely or annually.
Why is dividend important?
Dividend is a direct income for a shareholder without selling any of the holdings. Therefore a shareholder can hold on to the stock and still earn an income sitting at home. In a bull market, dividend would add to the overall capital appreciation and improve gains. In a bear market, a high dividend stock can offset some of the capital loss. Hence, a high dividend stock would always find favor in any market conditions. Rising dividends also indicate financial soundness of a firm and a strong cash flow.
Dividend Yield:
Dividend yield gives the income earned from stock holding from dividends alone. It is calculated on the basis of the dividend paid per share and the current market price per share. Dividend Yield = (Dividend per share/CMP) x 100
For example, HCL Info’s dividend yield is given by: Dividend Yield = (8/43.45) x 100 = 28.41%
This implies, if the earnings and dividend payout ratio remains the same for this financial year, if an investor purchases shares of HCL Info at current market price, he/she would earn a return of 20% from dividends alone.