Bargains or Busts? These 3 Dividend Stocks Pay More Than 4% and Are Trading Near Their 52-Week Lows

Group 1: Market Overview - The stock market has performed well, with the S&P 500 rising by 14% year to date as of September 22, hitting new highs [1] - Despite the overall market performance, many high-yielding dividend stocks have struggled [1] Group 2: Investment Opportunities - Three potentially undervalued stocks for income investors are United Parcel Service (UPS), Kimberly-Clark, and Comcast, all trading near their 52-week lows and offering dividends over 4% [2][8] Group 3: United Parcel Service (UPS) - UPS offers a high dividend yield of 7.8%, significantly above the S&P 500 average of 1.2%, but its stock has declined over 30% this year due to concerns over economic conditions [4] - For the first half of the year, UPS reported revenue of $42.8 billion, a slight decrease of less than 2% from $43.5 billion in the same period last year [5] - UPS's diluted earnings per share (EPS) was $2.91, averaging $1.46 per quarter, while the quarterly dividend payout is $1.64, indicating a potential risk of dividend cuts as free cash flow of $3.5 billion is below the $5.4 billion paid in dividends [6][7] - The stock trades at a price-to-earnings (P/E) multiple of less than 13, suggesting it may be a bargain buy in the long run, but short-term challenges are anticipated [7] Group 4: Kimberly-Clark - Kimberly-Clark is recognized as a Dividend King, having raised its dividend for 53 consecutive years, with a recent increase of a little over 3%, resulting in a current yield of approximately 4.1% [8]