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The Current Ratio is a liquidity metric that measures the ability of a firm to cover its short-term obligations with its current assets. The higher the ratio the more capable the firm should be in accomplishing this goal. A ratio under 1 is a red liquidity flag because it indicates that the firm cannot pay off all its obligations if they were to all come due at once. While this isn’t a good sign relative to financial health it doesn’t mean the firm will go bankrupt either.

The 1-Year Fiscal Net Profit Margin illustrates how much of each dollar earned is turned into profits. Firms that can continue to increase their Fiscal Net Profit Margin over time are generally rewarded with a higher stock price because of increased profitability.

We ran a screen for dividend stocks that have strong liquidity (Current Ratio>2). From this narrowed pool we then screened for firms with a 1-Year Fiscal Net Profit Margin of at least 10% or higher.

The 1-Year Fiscal Net Profit Margin ranks the firms from highest to lowest:

1. Spectra Energy Partners, LP (NYSE:SEP)

Sector

Energy

Industry

Oil & Gas Midstream

Market Cap

$2,747M

Beta

0.12

The company transports and owns natural gas assets. The firm’s 1-Year Fiscal Net Profit Margin is 69.45%. SEP’s Current Ratio is 7.34. The dividend yield is 6.37%. The short interest was N/A as of 08/15/2011.

2. Silver Wheaton Corporation (NYSE:SLW)

Sector

Basic Materials

Industry

Silver

Market Cap

$14,379M

Beta

1.60

The company operates through the sale silver. The firm’s 1-Year Fiscal Net Profit Margin is 68.52%. SWL’s Current Ratio is 4.21. The dividend yield is 0.15%. The short interest was N/A as of 08/15/2011.

3. Giant Interactive Group, Inc. (NYSE:GA)

Sector

Industrials

Industry

Business Services

Market Cap

$1,822M

Beta

0.50

The company develops and distributes online games in China. The firm’s 1-Year Fiscal Net Profit Margin is 60.86%. GA’s Current Ratio is 7.20. The dividend yield is 37.75%. The short interest was N/A as of 08/15/2011.

4. Buenaventura Mining Company (NYSE:BVN)

Sector

Basic Materials

Industry

Gold

Market Cap

$11,977M

Beta

0.70

The company mines and processes silver, gold, and other metals. The firm’s 1-Year Fiscal Net Profit Margin is 60.06%. BVN’s Current Ratio is 4.55. The dividend yield is 1.00%. The short interest was N/A as of 08/15/2011.

5. EV Energy Partner LP (NASDAQ:EVEP)

Sector

EnergyEnergy

Industry

Oil & Gas E&P

Market Cap

$2,532M

Beta

1.03

The company develops and produces oil and gas properties. The firm’s 1-Year Fiscal Net Profit Margin is 54.87%. EVEP’s Current Ratio is 4.13. The dividend yield is 4.10%. The short interest was 1.10% as of 08/15/2011.

6. Corning Inc. (NYSE:GLW)

Sector

Technology

Industry

Electronic Components

Market Cap

$22,561M

Beta

1.42

The company manufactures and sells specialty glass and ceramics. The firm’s 1-Year Fiscal Net Profit Margin is 53.65%. GLW’s Current Ratio is 4.48. The dividend yield is 1.39%. The short interest was 1.40% as of 08/15/2011.

7. Goldcorp, Inc. (NYSE:GG)

Sector

Basic Materials

Industry

Gold

Market Cap

$45,112M

Beta

0.65

The company is engaged in the acquisition and development of precious metal mines. The firm’s 1-Year Fiscal Net Profit Margin is 41.43%. GG’s Current Ratio is 3.82. The dividend yield is 0.65%. The short interest was N/A as of 08/15/2011.

8. Knightsbridge Tankers, Ltd. (NASDAQ:VLCCF)

Sector

Industrials

Industry

Shipping & Ports

Market Cap

$405M

Beta

1.04

The company operates a fleet of seaborne transportation ships that move crude oil. The firm’s 1-Year Fiscal Net Profit Margin is 40.21%. VLCCF’s Current Ratio is 5.60. The dividend yield is 12.07%. The short interest was 9.80% as of 08/15/2011.

9. Altera Corp. (NASDAQ:ALTR)

Sector

Technology

Industry

Semiconductors

Market Cap

$11,384M

Beta

1.07

The company designs and sells programmable logic devices. The firm’s 1-Year Fiscal Net Profit Margin is 40.06%. ALTR’s Current Ratio is 6.69. The dividend yield is 0.74%. The short interest was 3.50% as of 08/15/2011.

10. Linear Technology (NASDAQ:LLTC)

Sector

Technology

Industry

Semiconductors

Market Cap

$6,411M

Beta

0.98

The company develops and sells linear integrated circuits. The firm’s 1-Year Fiscal Net Profit Margin is 39.14%. TICKER’s Current Ratio is 7.24%. The dividend yield is 3.38%. The short interest was 6.70% as of 08/15/2011.

We hope this list helps as investors do their own due diligence on dividend stocks with strong Current Ratio’s and Net Profit Margins.

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

Source: 10 Highly Profitable Dividend Stocks Sitting On Cash