4 Dividend Stocks You Should Buy In A Depressed Market

Markets have fallen a great deal, with the Nifty shedding almost 10 per cent since hitting peak levels of 12,000 points. Dividend yield on select stocks have become extremely attractive for investors. Here are 4 dividend stocks that are a must buy at the current levels. If you buy the stock now, you are entitled to a dividend of Rs 3.5 per share. At the current market price of Rs 63, the dividend yield on the stock works to around 5.6 per cent.Jagran Prakashan is one of the top players in the digital, print and radio business. The company owns the Dainik Jagran (largest read newspaper in India), Radio City and Mid-day (Mumbais largest read evening newspaper). It also owns the No 1 website in the Indian healthcare/education space.For the quarter ending June 30, 2019, the company reported a net profit of Rs 65.7 crores, as against Rs 88.4 crores in the corresponding period of the previous year. We believe that numbers would improve in the second quarter of this year, owing to a fall in newsprint prices.The stock of Jagran Prakashan is available at a decent dividend yield and also a p/e of just 8 times one year forward earnings. Buy the stock for long term.Advertisement This bank has had an uninterrupted record of declaring dividends for many years now. In fact, despite the industry facing pressures on NPAs and profitability, it has had a very little impact on Karnataka Bank.The board of the bank last declared a dividend of Rs 3.5 per share in 2019. Even if the same dividend is retained, the dividend yield on the stock works to a decent 4.7 per cent at a stock price of Rs 75.The shares of the bank are also trading at a price to book of under 0.50, which makes it extremely attractive. The slowdown in the industry may to some extent impact the bank, but, we believe as the economy shows signs of life, the stock would stage a sharp rally. Buy the shares for a good dividend yield as also decent returns. Shares in Coal India have collapsed from 52-week high levels of Rs 292 to the current levels of Rs 181. At the current levels based on the dividends of last year, the Coal India shares offer you a dividend yield of 7.24 per cent. This is almost similar to the interest rates offered by bank deposits.It is important to remember that dividends are tax free in the hands of investors, while interest on bank deposits are not. This makes buying stocks like Coal India with a good dividend yield a good bet at the current levels.The stock is available at a near 52-week low of Rs 181. The downward risk on the stock is also minimal given the dividend yield. ONGC is another good stock to look for dividend yield. At the current market price of Rs 117, the stock is available at a new 52-week low. Also, the dividend yield on the stock is close to 6 per cent, which is not bad at all.ONGC is Indias largest oil and gas exploration major, with business prospects very assured and stable. Buy the stock since it offers good dividends and is also available at a new 52-week low.GoodReturns.in