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In a previous study, we showed that the average return of high dividend yielding stocks was 13.04% between 1927 and 2009. Dividend stocks beat the overall market by an average of 1.36% per year in that period. In another article, we provided a list of S&P500 stocks with market cap over $60 billion, and showed that high dividend mega-cap S&P500 stocks have performed better than both low dividend S&P500 stocks and the SPY.

Here's a list of 14 large-cap companies with high dividend yields and Low-Debt ratios. All stocks in our list have market capitalizations above $5 billion, Total Debt / Equity ratio of below 0.4, P/E ratio of below 20 and annualized dividend yields of at least 4%. (Market data is obtained from Yahoo Finance and Finviz).

1- Bristol-Myers Squibb Company (NYSE:BMY): Bristol-Myers Squibb is a global biopharmaceutical company. BMY recently traded at $27.9 and has a 4.7% dividend yield. BMY gained 10.6% during the past 12 months. The stock has a market cap of $47.6 billion, P/E ratio of 14.5 and forward P/E ratio of 13.6. The stock has Total Debt / Equity ratio of 0.34 and Beta of 0.61. Both Samuel Isaly and Simons hold more than $100 million in BMY (see billionaire Jim Simons’ top stock picks here).

2- ConocoPhillips (NYSE:COP): ConocoPhillips is an integrated energy company operating worldwide. COP recently traded at $63.6 and has a 4.2% dividend yield. COP gained 22.3% during the past 12 months. The stock has a market cap of $87.3 billion, P/E ratio of 8 and forward P/E ratio of 7.2. The stock has Total Debt / Equity ratio of 0.33 and Beta of 1.16. During the second quarter, Buffett invested around $600 Million in COP and increased his holdings to $2.8 Billion at the end of June (check out Warren Buffett’s new transactions).

3- Intel Corporation (NASDAQ:INTC): Intel provides integrated circuits for computing and communications industries worldwide. INTC recently traded at $19.2 and has a 4.4% dividend yield. INTC gained 5% during the past 12 months. The stock has a market cap of $100.8 billion, P/E ratio of 8.8 and forward P/E ratio of 7.8. The stock has Total Debt / Equity ratio of 0.04 and Beta of 1.11. In the past five years, INTC increased its dividend payments 12.62% on average. Ken Fisher and Harris Associates also have the next largest INTC positions among 300-plus funds we are tracking.

4- KLA-Tencor Corporation (NASDAQ:KLAC): KLA-Tencor Corporation provides process control and yield management solutions for the semiconductor and related Nano electronics industries. KLAC recently traded at $33.7 and has a 4.2% dividend yield. KLAC gained 16.4% during the past 12 months. The stock has a market cap of $5.6 billion, P/E ratio of 7.2 and forward P/E ratio of 7.9. The stock has Total Debt / Equity ratio of 0.26 and Beta of 1.74. Joel Greenblatt had $6.8 million invested in KLAC shares at the end of June (check out Joel Greenblatt's other Magic Formula Stocks).

5- Microchip Technology Inc. (NASDAQ:MCHP): Microchip Technology Incorporated provides semiconductor products for various embedded control applications. MCHP recently traded at $29.6 and has a 4.7% dividend yield. MCHP gained 7.6% during the past 12 months. The stock has a market cap of $5.6 billion, P/E ratio of 13.5 and forward P/E ratio of 13. The stock has Total Debt / Equity ratio of 0.19 and Beta of 1.07. Andy Redleaf’s Whitebox Advisors had more than $200M in MCHP at the end of March. Ken Griffin’s Citadel Investment also holds more than $150M of MCHP.

6- Maxim Integrated Products Inc. (NASDAQ:MXIM): Maxim Integrated Products provides linear and mixed-signal integrated circuits worldwide. MXIM recently traded at $21.3 and has a 4.1% dividend yield. MXIM gained 30.3% during the past 12 months. The stock has a market cap of $6.3 billion, P/E ratio of 13.2 and forward P/E ratio of 10.8. The stock has Total Debt / Equity ratio of 0.12 and Beta of 1.1.

7- Northrop Grumman Corporation (NYSE:NOC): Northrop Grumman Corporation provides and services for aerospace, electronics, information systems, shipbuilding, and technical service sectors. NOC recently traded at $49.3 and has a 4.1% dividend yield. NOC lost 2.4% during the past 12 months. The stock has a market cap of $13.7 billion, P/E ratio of 7.7 and forward P/E ratio of 6.8. The stock has Total Debt / Equity ratio of 0.33 and Beta of 1.11. Jean-Marie Eveillard’s First Eagle holds more than $50M of NOC.

8- NYSE Euronext, Inc. (NYSE:NYX): NYSE Euronext operates securities exchanges. NYX recently traded at $25.3 and has a 4.8% dividend yield. NYX lost 7.9% during the past 12 months. The stock has a market cap of $6.6 billion, P/E ratio of 11.6 and forward P/E ratio of 8.5. The stock has Total Debt / Equity ratio of 0.31 and Beta of 1.67.

9- Paychex Inc. (NASDAQ:PAYX): Paychex provides payroll, human resource, and benefits outsourcing solutions in the United States and Germany. PAYX recently traded at $25.4 and has a 4.9% dividend yield. PAYX gained 4.1% during the past 12 months. The stock has a market cap of $9.2 billion, P/E ratio of 17.9 and forward P/E ratio of 15.5. The stock has Total Debt / Equity ratio of 0 and Beta of 0.85.

10- Thomson Reuters Corporation (NYSE:TRI): Thomson Reuters Corporation provides intelligent information services worldwide. TRI recently traded at $29.6 and has a 4.2% dividend yield. TRI lost 12.9% during the past 12 months. The stock has a market cap of $24.7 billion, P/E ratio of 19.2 and forward P/E ratio of 11.9. The stock has Total Debt / Equity ratio of 0.38 and Beta of 0.9. In the past five years, TRI increased its dividend payments 7.10% on average.

11- Raytheon Co. (NYSE:RTN): Raytheon Company is one of the leading defense contractors providing control and communication systems in United States. RTN recently traded at $39.9 and has a 4.3% dividend yield. RTN lost 5.8% during the past 12 months. The stock has a market cap of $14.1 billion, P/E ratio of 7.4 and forward P/E ratio of 7.2. The stock has Total Debt / Equity ratio of 0.35 and Beta of 0.69. Alex Roepers' Atlantic Investment holds more than $100M of RTN. Ric Dillon, Steven Richman and Cliff Asness are also among RTN investors.

12- Reed Elsevier plc. (NYSE:RUK): Reed Elsevier provides information solutions in the areas of science, medical, legal, risk, and business sectors worldwide. RUK recently traded at $31 and has a 4.3% dividend yield. RUK lost 1.9% during the past 12 months. The stock has a market cap of $9.4 billion, P/E ratio of 16.8 and forward P/E ratio of 9.3. The stock has Total Debt / Equity ratio of 0 and Beta of 0.69.

13- Sun Life Financial Inc. (NYSE:SLF): Sun Life Financial is a financial services company providing various life and health insurance services. SLF recently traded at $25.6 and has a 5.9% dividend yield. SLF gained 9.8% during the past 12 months. The stock has a market cap of $14.9 billion, P/E ratio of 8.2 and forward P/E ratio of 8.4. The stock has Total Debt / Equity ratio of 0.34 and Beta of 1.61.

14- Penn West Petroleum Ltd. (NYSE:PWE): Penn West Petroleum Ltd. provides various services in petroleum and natural gas properties and related assets in North America. PWE recently traded at $17.8 and has a 6.1% dividend yield. PWE lost 4.6% during the past 12 months. The stock has a market cap of $8.3 billion, P/E ratio of 18.1 and forward P/E ratio of 10.4. The stock has Total Debt / Equity ratio of 0.32 and Beta of 1.25. Andreas Halvorsen’s Viking Global had more than $300 million invested in PWE at the end of March (check out Halvorsen’s top holdings).

Source: 14 Strong Dividend Stocks With Low-Debt And Low P/E Ratios