10 Stocks Below Book Value Paying Dividends and Growing Revenue

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 |  Includes: AHT, AYR, BBEPQ, DCT, FCLF, HCBK, NRF, OSBK, PCCWY, WAC
by: Frank J. Constantino

The markets continue to grind higher. The Dow and S&P 500 are pushing back toward their 52 week highs. As the markets push valuations higher, many investors are searching for deep value. One metric commonly used in this search is the price to book ratio. As I continue searching for deep value stocks, I decided to screen for stocks trading under book value. I also like stocks that pay dividends, so I screened further by looking for the names that have a 3% yield or higher. I narrowed the field even more by looking for companies that have annualized 5 year revenue growth of 15% or more. The following ten companies are the result. They all trade below book value, yield 3% or more, and have grown revenues for five years at an annualized rate of 15% or more.

DCT Industrial Trust (NYSE:DCT)

DCT is a real estate investment trust (REIT) that specializes in the ownership, operation, and development of industrial properties, including warehouses and light industrial locations. The firm primarily invests in the U.S. and Mexico, as well as some other international markets.

DCT
Market Cap $1.3 B
Recent Price $5.28
Forward PE N/A
Dividend Yield 5.30%
5 Year Div. Growth Rate -15.20%
Payout Ratio N/A
Price/Book 0.99
5 Year Annual Rev. Growth Rate 15.40%
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BreitBurn Energy Partners L.P. (BBEP)

BreitBurn Energy Partners is a master limited partnership that engages in the acquisition, exploitation, and development of oil and gas properties in the U.S. At the end of 2009 its estimated proved oil equivalent reserves were approximately 111 million barrels.

BBEP
Market Cap $1.3 B
Recent Price $21.74
Forward PE 24.12
Dividend Yield 7.59%
5 Year Div. Growth Rate -3.40%
Payout Ratio 188.00%
Price/Book 0.96
5 Year Annual Rev. Growth Rate 28.40%
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Osage Bancshares Inc. (NASDAQ:OSBK)

Osage Bancshares is the bank holding company for Osage Federal Bank. The bank operates a few retail locations in the state of Oklahoma. The company was founded in 1918.

OSBK.OB
Market Cap $21.4 M
Recent Price $8.10
Forward PE 28.93
Dividend Yield 4.20%
5 Year Div. Growth Rate 29.20%
Payout Ratio 116.00%
Price/Book 0.95
5 Year Annual Rev. Growth Rate 15.50%
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Hudson City Bancorp Inc. (NASDAQ:HCBK)

Hudson City Bancorp is the bank holding company for Hudson City Savings Bank. The bank operates approximately 95 retail locations in New Jersey and Connecticut. Hudson recently announced that it had paid off $12.5 billion in structured quarterly putative borrowings, reducing higher cost borrowings.

HCBK
Market Cap $5.2 B
Recent Price $9.87
Forward PE 12.81
Dividend Yield 6.08%
5 Year Div. Growth Rate 17.50%
Payout Ratio 55.00%
Price/Book 0.91
5 Year Annual Rev. Growth Rate 18.80%
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First Clover Leaf Financial Corp. (NASDAQ:FCLF)

First Clover Leaf Financial is the bank holding company for First Clover Leaf Bank. First Clover Leaf operates four retail banking centers in the state of Illinois.

FCLF
Market Cap $56.4 M
Recent Price $7.15
Forward PE N/A
Dividend Yield 3.36%
5 Year Annual Div. Growth Rate 27.90%
Payout Ratio 96.00%
Price/Book 0.81
5 Year Annual Rev. Growth Rate 31.00%
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Walter Investment Management (NYSE:WAC)

Walter Investment Management is a real estate investment trust (REIT). The trust operates as the mortgage owner and servicer of sub-prime, non-conforming, and other credit challenged residential mortgage loans. Walter Investment Management recently announced it would acquire GTCS Holdings for approximately $1.07 billion.

WAC
Market Cap $497.5 M
Recent Price $19.28
Forward PE 13.71
Dividend Yield 10.37%
5 Year Div. Growth Rate -48.50%
Payout Ratio 144.00%
Price/Book 0.9
5 Year Annual Rev. Growth Rate 61.80%
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Ashford Hospitality Trust Inc. (NYSE:AHT)

Ashford Hospitality Trust is a real estate investment trust. Ashford engages in the investment and management of upscale and mid-scale hotel properties in the U.S.

AHT
Market Cap $634.6 M
Recent Price $10.68
Forward PE N/A
Dividend Yield 3.75%
5 Year Div. Growth Rate N/A
Payout Ratio N/A
Price/Book 0.77
5 Year Annual Rev. Growth Rate 22.60%
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Aircastle Ltd (NYSE:AYR)

Aircastle, through its subsidiaries, engages in the acquisition, sale, and lease of utility commercial aircraft to cargo and passenger airlines. The company also makes various other investments in aviation assets.

AYR
Market Cap $619.6 M
Recent Price $12.03
Forward PE 11.65
Dividend Yield 3.33%
5 Year Div. Growth Rate 75.60%
Payout Ratio 48.00%
Price/Book 0.72
5 Year Annual Rev. Growth Rate -45.30%
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NorthStar Realty Finance (NYSE:NRF)

NorthStar Realty Finance is a real estate investment trust. The company primarily acquires, originates, and structures debt investments.

NRF
Market Cap $395.3 M
Recent Price $5.03
Forward PE 6.71
Dividend Yield 7.95%
5 Year Div. Growth Rate -12.90%
Payout Ratio N/A
Price/Book 0.4
5 Year Annual Rev. Growth Rate 47.40%
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PCCW Ltd ADR (OTCPK:PCCWY)

PCCW Ltd, with its subsidiaries, engages in the provision of telecommunications services in Hong Kong, Mainland China, and the Asia Pacific region. The company offers local, mobile, and international telecommunications services, as well as internet access and other services.

PCCWY.PK
Market Cap $2.9 B
Recent Price $4.24
Forward PE N/A
Dividend Yield 3.10%
5 Year Div. Growth Rate 22.50%
Payout Ratio 64.00%
Price/Book 0.25
5 Year Annual Rev. Growth Rate 25.30%
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Price to book ratios provide a good starting point for some investors searching for deep-value companies. Combined with other valuation metrics, investors should consider a company's price to book ratio. These ten stocks do not represent specific recommendations.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.