BOSTON ( TheStreet) -- U.S. stocks yesterday weren't able to extend Tuesday's rally after a report showed U.S. housing starts fell 10% in May and FedEx ( FDX) issued a 2010 profit outlook that missed analysts' expectations.

Dividend-paying shares help investors weather a weak stock market. Here are 10 stocks that offer enormous yields. They also carry greater-than-average risk.

10. Cellcom Israel ( CEL) sells telecom services.

Quarter: First-quarter profit inched up 2.2% to $85 million, or 85 cents a share, as revenue grew 14%. The operating margin rose from 28% to 29%. Cellcom has $270 million of cash and $1.2 billion of debt, equaling a debt-to-equity ratio of 10.

Stock: Cellcom has increased 4.3% during the past year, underperforming U.S. indices. It trades at a price-to-projected-earnings ratio of 2.2, reflecting a massive 83% discount to its peer average. It's also cheap based on sales and cash flow.

Consensus: Of analysts covering Cellcom Israel, six, or 35%, advise purchasing its shares, 10 recommend holding and one suggests selling them. Citigroup ( C) offers a target of $41, leaving a potential return of 52%. UBS ( UBS) expects the stock to hit $37.

9. Universal Insurance Holdings ( UVE) is a Florida-based insurer.

Quarter: First-quarter profit fell 33% to $8.3 million, or 21 cents, as revenue declined 2.5%. The operating margin fell from 42% to 28%. Universal Insurance has $229 million of cash and $50 million of debt, converting to a debt-to-equity ratio of 0.4.

Stock: Universal Insurance has fallen 17% during the past 12 months, lagging behind U.S. benchmarks. It sells for a trailing price-to-earnings ratio of 7.4 and a price-to-cash-flow ratio of 6.2, 48% and 44% discounts to insurance industry averages.

Consensus: Just one researcher follows Universal Insurance Holdings, EVA Dimensions, which rates it "hold." TheStreet rates the stock "buy" due to its relative value and large dividend. Universal Insurance offers a yield of 9.1%, with a payout ratio of 89%.

8. Alaska Communications Group ( ALSK) provides telecom services.

Quarter: First-quarter profit dropped 41% to $1.3 million, or 3 cents, as revenue declined 4.2%. The operating margin fell from 15% to 13%. The company has $14 million of cash and $544 million of debt, translating to a debt-to-equity ratio of 23.

Stock: Alaska Communications has gained 25% in the past year, more than the S&P 500 Index. The company has been paying a 22-cent quarterly dividend since 2006, but its payout ratio is excessive. The dividend isn't being funded by earnings alone.

Consensus: Of firms covering Alaska Communications, one rates it "overweight," four rank it "hold" and one rates it "sell." RBC ( RY) offers a target of $8, implying that the stock is overvalued by 9%. JPMorgan ( JPM) is the lone bull.

7. Formula Systems ( FORTY) is an IT services and software company in Israel.

Quarter: First-quarter profit expanded 41% to $4.8 million, or 35 cents, as revenue increased 12% to $131 million. The operating margin stretched from 6.8% to 8.4%. The balance sheet stores $160 million of cash and $76 million of long-term debt.

Stock: Formula Systems has more than doubled during the past year, outperforming indices by a wide margin. It trades at a trailing price-to-earnings ratio of 12 and a price-to-book ratio of 0.6, 56% and 86% discounts to software peer averages.

Consensus: No sell-side analysts cover Formula Systems, but TheStreet's stock model rates it "buy." During the past three years, Formula has grown earnings 84% annually, on average. Its recent $1.47 dividend translates to a payout ratio of 130%.

6. BGC Partners ( BGCP) is an inter-dealer capital-markets broker.

Quarter: BGC swung to a first-quarter loss of $4.2 million, or 5 cents, from a profit of $8.1 million, or 10 cents, a year earlier. Revenue climbed 22%. The operating margin rose from 8.4% to 8.8%. BGC has $391 million of cash and $166 million of debt.

Stock: BGC has appreciated 63% during the past 12 months, outpacing U.S. benchmarks. It sells for a price-to-projected-earnings ratio of 8.2 and a price-to-cash-flow ratio of 1.5, reflecting 36% and 91% discounts to capital markets peer averages.

Consensus: Of analysts following BGC Partners, three, or 50%, advocate purchasing its shares, two recommend holding and one says to sell them. KBW ( KBW) and Raymond James ( RJF) forecast a price of $8, leaving a potential return of 44%.

5. Deswell Industries ( DSWL) makes injection-molded plastics in China.

Quarter: Deswell swung to a fiscal third-quarter loss of $440,000, or 3 cents, from a profit of $990,000, or 6 cents, a year earlier. The operating margin fell from 3.8% to 0.7%. Deswell holds $43 million of cash, equaling a quick ratio of 3.6, and no debt.

Stock: Deswell has returned 14% during the past 12 months, lagging behind U.S. indices. It trades at a price-to-book ratio of 0.5 and a price-to-sales ratio of 0.7, 85% and 69% discounts to peer averages. It's also cheap based on trailing earnings.

Consensus: No researchers rate Deswell, but TheStreet's stock model gives it a "hold" rating. Deswell cut its dividend in the fall of 2009, but reinstated it in the latest quarter. Its 10 cent payout translates to an annual yield of about 11%.

4. Telecom Corp. of New Zealand ( NZT) sells telecom services and IT products.

Quarter: Fiscal third-quarter profit fell 27% to $64 million, or 17 cents, as revenue increased 12%. The operating margin narrowed from 18% to 16%. Telecom Corp. of New Zealand has $1.7 billion of debt, converting to a debt-to-equity ratio of 0.9.

Stock: Telecom Corp. of New Zealand has fallen 16% during the past year, trailing U.S. benchmarks. It sells for a PEG ratio, a measure of value relative to projected growth, of 0.7, a 30% discount to estimated fair value. It's also cheap based on earnings.

Consensus: EVA Dimensions and TheStreet's stock model both rate Telecom Corp. of New Zealand "hold." Still, the stock is cheaper than its peer group based on nearly all valuation measures and offers a yield of 12%. But it has a high payout ratio of 96%.

3. Teekay Tankers ( TNK) owns and operates oil tankers.

Quarter: First-quarter profit tumbled 68% to $5.1 million, or 16 cents, as revenue decreased 22%. The operating margin fell from 49% to 32%. Teekay has $12 million of cash and $304 million of debt, translating to a debt-to-equity ratio of 1.5.

Stock: Teekay Tankers has gained 11% during the past 12 months, underperforming U.S. indices. It trades at a price-to-projected-earnings ratio of 12 and a price-to-book ratio of 1.9, demonstrating 12% and 45% discounts to oil-and-gas peer averages.

Consensus: Of analysts covering Teekay Tankers, two, or 25%, rate its stock "buy," five rate it "hold" and one ranks it "sell." JPMorgan offers a target of $15, leaving a potential return of 24%. Deutsche Bank ( DB) predicts that it will rise 8% to $13.

2. Partner Communications ( PTNR) is a mobile-telecom company in Israel.

Quarter: First-quarter profit expanded 29% to $91 million, or 58 cents, as revenue grew 27%. The operating margin declined from 31% to 27%. Partner Comm. has $1.1 million of cash and $869 million of debt, converting to a debt-to-equity ratio of 5.2.

Stock: Partner Communications has ascended 1.9% during the past year, trailing benchmarks. It sells for a price-to-projected-earnings ratio of 2.1, an 84% discount to its peer average. Its PEG ratio of 0.1 reflects a 90% discount to estimated fair value.

Consensus: Of researchers following Partner Communications, one, or 33%, advocates purchasing its shares and two suggest holding them. Nomura Holdings ( NMR) and RBC ( RY) both value the stock at $22, leaving a potential return of 30%.

1. Frontier Communications ( FTR) provides telecom services in rural areas of the U.S.

Quarter: First-quarter profit increased 17% to $43 million, or 14 cents, as revenue declined 3.4% to $520 million. The operating margin rose from 26% to 33%. Frontier has $331 million of cash and $4.8 billion of debt, equaling a debt-to-equity ratio of 16.

Stock: Frontier Communications has appreciated 17% during the past 12 months, underperforming U.S. indices. It trades at a price-to-projected-earnings ratio of 13 and a price-to-cash-flow ratio of 3.5, slight discounts to telecom industry averages,

Consensus: Of firms covering Frontier Communications, three, or 20%, rate its stock "buy," eight rate it "hold" and four rank it "sell." Stifel Financial ( SF) predicts that the stock will rise 27% to $10. Citigroup ( C) expects it to rise 14% to $9.

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