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Technology stocks are well-known for huge cash amounts, high margins and fat growth rates. But most of them pay no or low dividends in order finance the next technology that will change the world. This is very disappointing for dividend investors. The second disadvantage is that many technology stocks are very high priced, and it is really hard to find some bargains.

I screened the technology sector by cheap stocks with solid dividends. Cheap because they have a price to free cash flow ratio of less than 15 and a price to sales ratio of under 1. Solid dividends have a yield of more than 3 percent. 15 companies have such a valuation. Here are my favorites due to a market capitalization of at least $1 billion and an operating margin of more than 15 percent:

1. Telecom Argentina (NYSE:TEO) is acting within the diversified communication services industry. The company has a market capitalization of $3.4 billion, generates revenues in an amount of $3.9 billion and a net income of $543.7 million. It follows P/E ratio is 6.3, forward price to earnings ratio 6.2 and P/FCF 7.8. Price/Sales ratio is 0.9 and Price/Book ratio 2.2. Dividend Yield: 9.2 percent. The operating margin amounts to 21.58 percent.

2. Harris (NYSE:HRS) is acting within the communication equipment industry. The company has a market capitalization of $4.1 billion, generates revenues in an amount of $5.9 billion and a net income of $580.8 million. It follows P/E ratio is 7.6, forward price to earnings ratio 6.4 and P/FCF 10.9. Price/Sales ratio is 0.7 and Price/Book ratio 1.7. Dividend Yield: 3.2 percent. The operating margin amounts to 16.38 percent.

3. France Telecom (FTE) is acting within the foreign telecom services industry. The company has a market capitalization of $44.4 billion, generates revenues in an amount of $62.4 billion and a net income of $4.3 billion. It follows P/E ratio is 10.7, forward price to earnings ratio 8.1 and P/FCF 9.3. Price/Sales ratio is 0.7 and Price/Book ratio 1.2. Dividend Yield: 11.6 percent. The operating margin amounts to 15.29 percent.

Take a closer look at the full table of 15 cheap technology stocks with best dividends. The average price to earnings ratio (P/E ratio) amounts to 9.1 while the forward price to earnings ratio is 7.4. The dividend yield has a value of 5.6 percent. Price to book ratio is 1.9 and price to sales ratio 0.7. The operating margin amounts to 12.2 percent.

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

Source: 3 Cheap, High-Margin Dividend Tech Stocks