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Oi S.A. ( OIBR , quote ) -- Portuguese for "hi" -- is the largest telecommunications company in Brazil, and offers the unique combination of a double digit dividend yield with a price-to-book value of just 0.50. That is very appealing for both income and value investing.

Through its subsidiaries, OIBR:

"...provides integrated telecommunication service for residential customers, companies, and governmental agencies in Brazil. The company offers fixed-line and mobile telecommunication services; data transmission services, such as broadband access services; Internet service provider (ISP) services; and other services."

Like many telecommunications stocks, Oi has a strong dividend component. As a dividend paying stock, the yield for Oi is 13.65%. By contrast, the dividend yield for AT&T ( T , quote ) is just 4.70%. There is modest debt and a strong cash flow. Both provide for a bullish future for the dividend of the stock.

Also bullish for the future of OIBR is the future of Brazil, and many of its companies . As one analyst wrote about the country:

" Brazil is an expanding market . The middle class is growing and in need of communication services to meet their growth demands. South America, specifically Brazil, has a better chance to weather a global economic crises than does the EU or the US. They are generally not dependent on the USD or Euro, both of which are rapidly losing value. In the longer term, I see South America as the last great frontier of financial opportunity."

Now trading around $13.75 a share, the mean analyst target price for Oi over the next year of market action is $16.21. With a beta of 1.24, OIBR is volatile, which allows you to buy on the dips to enhance its allure as a dividend paying stock. The 52-week low is $10.86. Year to date however, Oi is up 8.75%. As there is only a short float of 2.30% (a short float of 5% is considered to be troubling), investors do not see Oi giving up those gains.

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