Most important thing while looking at dividend yields is to check whether the dividend is consistent or just one off . Look at bse website of the company for past dividend records.
@ Gautam, Though the company is close to 10% yeild now it didnt pay any dividends in 2009 and 2010.The reason they give was this
ln view ofthe uncertainty prevailing in the industry and decline in profits due to recession in last year, your. board has decided not to recommend the dividend for the year under review.
A company which cuts its dividend during bad economic times will serve no good for someone seeking protection via dividends.Besides its mcap is just 6Cr. Based on what i could read it exports close to 55% percent that to US and Europe. Make sure to make a thorough study of the company before investing.
Regards,