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High dividend stocks are great. They are easy to understand - the company gives shareholders a pre-announced amount per share once a year or once a quarter, and that amount can be distributed as payments or rolled back into the investment automatically. But, there is more to it than that. High dividends are nice but if the payout is too high, it could be a warning sign of trouble ahead for the company. Further, dividends are not guaranteed. So, if you want to make sure a stock will continue paying dividends you have to look a little deeper, asking questions like whether its earnings have increased, as opposed to merely its sales.

With that thought in mind, we developed a list of 10 companies that pay high dividends (>3%), have payout ratios under 70% and had EPS growth over 10%. These stocks have some cushion against unexpected shocks and they should be able to increase their dividends as their earnings keep growing at a healthy rate.

Lorillard, Inc. (NYSE:LO) is a cigarette company. LO has a $15.29B market cap and pays a dividend yield of 4.59%. It has a payout ratio of 67.51%. Over the last five years, LO's EPS has grown by 10.80%. It is expected to grow by 10.10% over the next five years. LO has a low beta of 0.39, meaning it is roughly one-third as volatile as the market. It is currently trading at $112.22 a share. Jim Simons' Renaissance Technologies had more than $323.59 million in LO at the end of the third quarter.

Linear Technology Corp. (NASDAQ:LLTC) is a specialized semiconductor company. LLTC has a $6.91B market cap and pays a dividend yield of 3.16%. It has a payout ratio of 39.08%. Over the last five years, LLTC's EPS has grown by 12.77%. It is expected to grow by 12.24% over the next five years. LLTC has a low beta of 1.06, meaning it is marginally more volatile than the market. It is currently trading at $30.15 a share.

Microchip Technology, Inc. (NASDAQ:MCHP) is a specialized semiconductor company. MCHP has a $6.83B market cap and pays a dividend yield of 3.89%. It has a payout ratio of 63.51%. Over the last five years, MCHP's EPS has grown by 14.35%. It is expected to grow by 12.74% over the next five years. MCHP has a low beta of 1.12, meaning it is about 12% more volatile than the market. It is currently trading at $35.65 a share.

Harris Corp. (NYSE:HRS) is a communications equipment company. HRS has a $4.25B market cap and pays a dividend yield of 3.05%. It has a payout ratio of 23.21%. Over the last five years, HRS's EPS has grown by 21.91%. It is expected to grow by 10.13% over the next five years. HRS has a low beta of 0.96, meaning it is a little less volatile than the market. It is currently trading at $36.41 a share.

Hasbro, Inc. (NASDAQ:HAS) is a toy company. HAS has a $4.15B market cap and pays a dividend yield of 3.73%. It has a payout ratio of 38.63%. Over the last five years, HAS's EPS has grown by 20.33%. It is expected to grow by 11.35% over the next five years. HAS has a low beta of 0.94, meaning it is about 6% less volatile than the market. It is currently trading at $32.48 a share.

Cablevision Systems Corporation (NYSE:CVC) is a CATV systems company. CVC has a $4.13B market cap and pays a dividend yield of 4.06%. It has a payout ratio of 54.14%. Over the last five years, CVC's EPS has grown by 44.71%. It is expected to grow by 16.38% over the next five years. CVC has a modest beta of 1.43, meaning it is about 43% more volatile than the market. It is currently trading at $15.03 a share. Chase Coleman's Tiger Global Management had $107.80 million in CVC at the end of September after increasing its holding in the company by +17% during the third quarter.

NV Energy, Inc. (NYSE:NVE) is a diversified utilities company. NVE has a $3.80B market cap and pays a dividend yield of 3.23%. It has a payout ratio of 55.78%. Over the last five years, NVE's EPS has grown by 16.78%. It is expected to grow by 10.10% over the next five years. NVE has a low beta of 0.66, meaning it is one-third less volatile than the market. It is currently trading at $16.03 a share.

Alliance Holdings GP, LP (NASDAQ:AHGP) is a nonmetallic mineral mining company. AHGP has a $3.17B market cap and pays a dividend yield of 4.61%. It has a payout ratio of 61.83%. Over the last five years, AHGP's EPS has grown by 12.77%. It is expected to grow by 14.00% over the next five years. AHGP has a low beta of 0.82, meaning it is about 20% less volatile than the market. It is currently trading at $53.40 a share.

Alliance Resource Partners LP (NASDAQ:ARLP) is an industrial metals and minerals company. ARLP has a $2.82B market cap and pays a dividend yield of 4.98%. It has a payout ratio of 43.71%. Over the last five years, ARLP's EPS has grown by 10.86%. It is expected to grow by 10.72% over the next five years. ARLP has a low beta of 0.86, meaning it is about 15% less volatile than the market. It is currently trading at $79.30 a share.

Cinemark Holdings, Inc. (NYSE:CNK) is a company that owns and operates theaters. CNK has a $2.12B market cap and pays a dividend yield of 4.53%. It has a payout ratio of 64.47%. Over the last five years, CNK's EPS has grown by 56.64%. It is expected to grow by 10.70% over the next five years. CNK has a modest beta of 1.20, meaning it is about 20% more volatile than the market. It is currently trading at $18.57 a share. John Osterweis' Osterweis Capital Management initiated a new $71.25 million position in CNK during the third quarter.

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

Source: 10 High-Dividend Stocks With Strong Growth