Finding stocks that are down big with S&P 500 trading in bear market territory is not hard these days. Finding the companies that also pay big dividends and are likely to keep them is a different story. Often, a one-off event occurs or an economic change damages the products or services a company provides, and that puts a big-time hurt on the share price. That is the time for nimble investors to buy the shares.
One big advantage to buying beaten-down stocks with substantial dividends is that investors are paid to wait for the recovery. While that can sometimes be a lengthy period, four times a year the dividends will arrive.
We screened our 24/7 Wall St. research database for well-known stocks that have been hammered for one reason or another, looking for solid ideas for investors. We found seven such companies that look ripe for the picking.
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