The Indian stock market has shown robust performance, with a rise of 1.2% over the last week and an impressive 45% increase over the past year. In this context of strong growth and optimistic earnings forecasts, high-yield dividend stocks can be particularly appealing for investors seeking both stability and income.
Top 10 Dividend Stocks In India
Name
Dividend Yield
Dividend Rating
Bhansali Engineering Polymers (BSE:500052)
3.99%
★★★★★★
Castrol India (BSE:500870)
3.71%
★★★★★☆
Balmer Lawrie Investments (BSE:532485)
4.57%
★★★★★☆
HCL Technologies (NSEI:HCLTECH)
3.81%
★★★★★☆
Indian Oil (NSEI:IOC)
8.07%
★★★★★☆
Gujarat Narmada Valley Fertilizers & Chemicals (NSEI:GNFC)
Overview: Akzo Nobel India Limited, with a market cap of ₹114.88 billion, engages in the manufacturing, distribution, and sale of paints and coatings both in India and globally.
Operations: Akzo Nobel India Limited generates ₹39.40 billion from its coatings segment.
Dividend Yield: 3.6%
Akzo Nobel India's dividend yield stands at 3.57%, ranking in the top quartile of Indian dividend payers, supported by a payout ratio of 82.6% and cash payout ratio of 78.6%. Despite strong recent earnings growth of 31.5% and forecasted revenue growth of 11.44% annually, the company's dividend history over the past decade has been marked by volatility, reflecting an unstable track record in consistent dividend payments. This instability may raise concerns about long-term sustainability despite current coverage ratios being adequate.
Overview: Bharat Petroleum Corporation Limited, operating in India, specializes in refining crude oil and marketing petroleum products with a market capitalization of approximately ₹1.38 trillion.
Operations: Bharat Petroleum Corporation Limited generates revenue primarily through its downstream petroleum segment, which brought in approximately ₹50.81 billion, and a smaller contribution from exploration and production of hydrocarbons at about ₹1.84 billion.
Dividend Yield: 3.3%
Bharat Petroleum's dividend yield is competitive at 3.31%, placing it in the top 25% of Indian dividend payers. Despite a challenging forecast with earnings expected to decline by 40.2% annually over the next three years, its dividends appear sustainable with a modest payout ratio of 40% and a cash payout ratio of 9.3%. However, its dividend history shows volatility and unreliability over the past decade, which might concern investors looking for stable returns. Additionally, recent management changes could influence future strategies and performance.
Overview: Petronet LNG Limited is involved in the import, storage, regasification, and supply of liquefied natural gas (LNG) in India, with a market capitalization of approximately ₹481.13 billion.
Operations: Petronet LNG Limited generates revenue primarily through its natural gas business, which amounted to ₹52.81 billion.
Dividend Yield: 3.1%
Petronet LNG offers a dividend yield of 3.12%, ranking it among the top 25% in India, supported by a low payout ratio of 12.8% and a cash payout ratio of 51.4%, ensuring dividends are well-covered by earnings and cash flows. However, its dividend history shows instability with significant fluctuations over the past decade, posing concerns for those seeking consistent income. Recent strategic moves include a long-term LNG agreement with QatarEnergy, enhancing future stability and supply security in energy sectors critical to India's economy.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include BSE:500710NSEI:BPCL and
