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While it's always fun to ride a stock higher, especially in poor market conditions, losing sight of an exit point is often a dangerous, accidental game of chicken. Recently, we've noticed that some dividend stocks are flying higher and higher, but the danger now is that their valuations may have gotten to high. We understand that no investor generally wants to sell an amazing winner, especially if it's a dividend stock because of the added dividend benefits, but now is the time to review these names, because the goal of investing will always be to buy low and sell high.

The Price/Book Value Ratio is a great price-multiple valuation metric to find companies that may be potentially undervalued or overvalued. If a firm has a Price/Book Value Ratio of less than 1 it is stated to be trading below “break up” value. A lower P/BV Ratio can indicate a potentially mispriced company or indicate that something is fundamentally wrong with it.

We first looked for dividend stocks trading at a premium (P/BV Ratio > 4). From this narrowed list of candidates, we then looked for companies that are trading near their 52-week lows. We did not screen out any sectors or market caps.

The list is ranked from highest to lowest by the P/BV Ratio:

1. Philip Morris International (PM)

Sector

Consumer Defensive

Industry

Tobacco

Market Cap

$122,727M

Beta

0.84

The company makes and sells cigarettes and tobacco products outside the US. The company has a dividend yield of 3.85% and a P/BV ratio of 33.44. PM is 3.95% above its 52-week low. The short interest was 0.90% as of 10/14/2011.

2. Limited Brands, Inc. (LTD)

Sector

Consumer Cyclical

Industry

Apparel Stores

Market Cap

$12,741M

Beta

1.60

The company sells women's intimate apparel, clothes, and accessories. The company has a dividend yield of 1.76% and a P/BV ratio of 20.37. LTD is 6.03% above its 52-week low. The short interest was 3.70% as of 10/14/2011.

3. Colgate-Palmolive Company. (CL)

Sector

Consumer Defensive

Industry

Household and Personal Products

Market Cap

$43,739M

Beta

0.50

The company offers a variety of home and household products. The company has a dividend yield of 2.51% and a P/BV ratio of 16.39. CL is 4.76% above its 52-week low. The short interest was 1.20% as of 10/14/2011.

4. Linear Technology. (LLTC)

Sector

Technology

Industry

Semiconductors

Market Cap

$7,488M

Beta

0.99

The company designs and sells linear integrated circuits. The company has a dividend yield of 2.94% and a P/BV ratio of 14.81. LLTC is 16.81% above its 52-week low. The short interest was 7.30% as of 10/14/2011.

5. The Hershey Company. (HSY)

Sector

Consumer Defensive

Industry

Confectioners

Market Cap

$13,016M

Beta

0.29

The company sells quality chocolate and non-chocolate products. The company has a dividend yield of 2.37% and a P/BV ratio of 12.85. HSY is 6.12% above its 52-week low. The short interest was 4.20% as of 10/14/2011.

6. Altria Group Inc. (MO)

Sector

Consumer Defensive

Industry

Tobacco

Market Cap

$56,654M

Beta

0.43

The company operates Philip Morris USA. The company has a dividend yield of 5.63% and a P/BV ratio of 12.82. MO is 2.10% above its 52-week low. The short interest was 1.40% as of 10/14/2011.

7. Herbalife, Ltd. (HLF)

Sector

Consumer Defensive

Industry

Household and Personal Products

Market Cap

$7,380M

Beta

1.85

The company does network marketing for nutritional supplement, weight management, and personal care products. The company has a dividend yield of 1.04% and a P/BV ratio of 12.38. HLF is 1.64% above its 52-week low. The short interest was 3.10% as of 10/14/2011.

8. Yum Brands Inc. (YUM)

Sector

Consumer Cyclical

Industry

Restaurants

Market Cap

$24,669M

Beta

0.86

The company operates a variety of quick-service restaurants around the world. The company has a dividend yield of 1.93% and a P/BV ratio of 12.38. YUM is 7.24% above its 52-week low. The short interest was 1.50% as of 10/14/2011.

9. Coach, Inc. (COH)

Sector

Consumer Cyclical

Industry

Luxury Goods

Market Cap

$18,807M

Beta

1.58

The company sells fine accessories for men and women. The company has a dividend yield of 1.15% and a P/BV ratio of 11.67. COH is 5.97% above its 52-week low. The short interest was 1.30% as of 10/14/2011.

10. Accenture PLC. (ACN)

Sector

Industrials

Industry

Business Services

Market Cap

$41,586M

Beta

0.80

The company offers technology services, management consulting, and outsourcing organization. The company has a dividend yield of 1.87% and a P/BV ratio of 10.72. ACN is 5.34% above its 52-week low. The short interest was 1.90% as of 10/14/2011.

We hope this list helps as investors do their own due diligence and research on bullish stocks with expensive price-multiple valuations.

Source: 10 Expensive Dividend Stocks Riding On Bullish Momentum