3 Leading Dividend Stocks Yielding Up To 8.5%

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As global markets navigate a mixed landscape of fluctuating consumer confidence and economic indicators, investors are increasingly drawn to the stability offered by dividend stocks. In times of uncertainty, these stocks can provide a reliable income stream, making them an attractive option for those seeking to balance growth with income in their investment portfolios.

Top 10 Dividend Stocks

Name

Dividend Yield

Dividend Rating

Peoples Bancorp (NasdaqGS:PEBO)

5.05%

★★★★★★

Tsubakimoto Chain (TSE:6371)

4.09%

★★★★★★

CAC Holdings (TSE:4725)

4.84%

★★★★★★

Yamato Kogyo (TSE:5444)

4.04%

★★★★★★

Padma Oil (DSE:PADMAOIL)

7.45%

★★★★★★

GakkyushaLtd (TSE:9769)

4.38%

★★★★★★

Nihon Parkerizing (TSE:4095)

3.83%

★★★★★★

FALCO HOLDINGS (TSE:4671)

6.38%

★★★★★★

E J Holdings (TSE:2153)

3.82%

★★★★★★

Citizens & Northern (NasdaqCM:CZNC)

6.02%

★★★★★★

Click here to see the full list of 1958 stocks from our Top Dividend Stocks screener.

Let's dive into some prime choices out of the screener.

A2A

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: A2A S.p.A. is involved in the production, sale, and distribution of gas and electricity, as well as district heating both in Italy and internationally, with a market cap of €6.72 billion.

Operations: A2A S.p.A. generates revenue from several segments, including Waste (€1.53 billion), Market (€6.56 billion), and Smart Infrastructures (€1.49 billion).

Dividend Yield: 4.4%

A2A's dividend yield of 4.38% is below the top quartile in Italy, and its dividends are not fully covered by cash flows, with a high cash payout ratio of 150.8%. However, the payout ratio from earnings is low at 34.6%, indicating coverage by earnings despite financial strain from debt levels. Dividends have been stable and growing over the past decade but may face pressure due to forecasted earnings decline. Recent strategic moves include potential acquisitions and infrastructure projects, which could impact future financial stability and dividend sustainability.

BIT:A2A Dividend History as at Jan 2025
BIT:A2A Dividend History as at Jan 2025

Orion Oyj

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Orion Oyj is a pharmaceutical company that develops, manufactures, and markets human and veterinary pharmaceuticals as well as active pharmaceutical ingredients across Finland, Scandinavia, Europe, North America, and internationally with a market cap of €6 billion.

Operations: Orion Oyj's revenue from its pharmaceuticals segment amounts to €1.43 billion.

Dividend Yield: 3.7%

Orion Oyj's dividend yield of 3.71% is below the top quartile in Finland and not well covered by free cash flows, with a high cash payout ratio of 132.9%. Despite this, dividends have been stable and growing over the past decade, supported by a reasonable payout ratio from earnings at 68.6%. Recent strategic shifts include terminating ganaxolone activities in Europe and focusing on oncology and pain therapeutics, which may affect future dividend sustainability.