With the sharp drops in the stock market recently, investors are looking more and more toward income-oriented stocks. They figure that the dividends can provide a benefit while waiting out the volatility of the stock market. Stockpickr has put together a list of relatively unknown companies that are paying relatively high dividends, all of which have market caps over $350 million.
One of the highest yielding stocks is GateHouse Media ( GHS), at a rate of 19.6%, based on its payouts for the last four quarters. The company just went ex-dividend on Dec. 27 with a payment of 40 cents per share to be paid on Jan. 15. GateHouse owns over 330 community newspapers across the United States and publishes yellow page and white page telephone directories in northern California. It also publishes telephone yellow pages on the Internet. Last month, the company completed its $115 million acquisition of several Morris Publishing Group LLC publications, primarily in the Midwest. The stock has a forward price to earnings ratio of 31. GateHouse is owned by Fortress Investment Group ( FIG), a New York-based money manager, founded in 1998, which has over $29 billion in assets under management, $10 billion of which is in its hedge fund. Fortress is one of the few publicly traded hedge fund companies (and pays a fairly high yield itself, by the way, at 5.8%). Fortress also owns Brookdale Senior Living ( BKD), which has a yield of 7.2%, Clear Channel Communications ( CCU), which pays 2.2%, and Lehman Brothers Holdings ( LEH), which has a yield of 1%.