Believe it or not, even in today's market, you can find stocks that have a few interesting valuation characteristics. In this case, we look for stocks trading for single-digit P/E ratios, and dividend yields above the comparable 10-year U.S. Treasury rate, currently about 3.4%. Not expecting to find much, the search actually turned up an interesting group of names.

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Staying Small
Not surprisingly, many of the names that turned up were smaller capitalization stocks that aren't readily available to many of the larger institutional investment funds. That's because most institutions would likely gobble up any decent business trading for a P/E of 9 and yielding over 5%. But they can't do that with Homeowners Choice (Nasdaq:HCII), a Florida home insurance company that also yields 5%. With a market cap of $50 million, most mutual funds leave this one for the little guy.

Kayne Anderson Energy Development Company (NYSE:KED) is a closed-end fund that invests in private energy companies. Shares trade for $18.50, and the company has a P/E of 3.6. At year end, the company paid a 30-cent dividend for the fourth quarter. Based on an annualized payout of $1.20, the shares yield just over 6%. KED has a current market cap of $191 million and a net asset value per share of approximately $20.56. (For more, see Dividend Facts You May Not Know.)

Not Your Garden Variety Investments
KKR Financial Holdings (NYSE:KFN) is a specialty finance company with a primary focus on corporate debt in a company's capital structure. KKR Financial typically focuses on larger cap stocks with a more diverse geographic and product footprint. Shares trade for $9.49 and yield 6.6%, respectively. KKR has as market cap of $1.7 billion, making it more available to larger investors.

If you want some international exposure, the Aberdeen Chile Fund (AMEX:CH) is a closed-end fund that invests at least 75% of its assets in Chilean businesses. The fund has been around since 1989, and invests in both public equity and fixed income in Chile. Shares trade for $22.50, and in March, the company announced a quarterly payout of 51 cents per share. For the 12 months to February 28, 2011, the fund has paid total distributions of $3.46 a share, $1.37 of which was in the form of common stock. Based on today's price, that would imply a total yield of over 15%.

The Bottom Line
The above names all have above average yields and what on the surface appear to be very attractive P/E ratios. However, some of these names rely on the underlying performance of their investee companies to sustain the yield. Investors should look closer before making any commitments. (For more, see Great Dividend Yield Payouts.)

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