2 Embarrassingly Cheap Dividend Stocks to Buy
Benjamin Graham, the father of value investing and mentor to Warren Buffett, explained that in the short term, the market is a "voting machine" and stocks are judged by their popularity with investors. But in the long term, he continued, the market is a "weighing machine" -- meaning a stock's fundamentals are what matter most.
Undervalued dividend stocks are especially attractive in today's market, which appears to be fully valued at best and meaningfully overvalued at worst. That's because when a dividend stock is trading below its fair value, the starting dividend yield is higher -- mitigating the risk of excessive downside in a market correction.
Astute investors can take advantage of the occasional disconnect between a dividend stock's popularity with investors and its true fundamentals. Here are two dividend stocks offering yields above 4% that are solid value picks for patient investors.
Source Fool.com
