3 Top Indian Dividend Stocks Yielding 3% To 6%
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The Indian market has gained 2.8% recently and is up 48% over the past 12 months, with earnings expected to grow by 16% per annum in the coming years. In this thriving environment, dividend stocks yielding between 3% to 6% can offer a compelling combination of income and potential growth for investors.
Top 10 Dividend Stocks In India
| Name | Dividend Yield | Dividend Rating |
| Balmer Lawrie Investments (BSE:532485) | 3.41% | ★★★★★★ |
| D. B (NSEI:DBCORP) | 4.98% | ★★★★★☆ |
| HCL Technologies (NSEI:HCLTECH) | 3.17% | ★★★★★☆ |
| VST Industries (BSE:509966) | 3.46% | ★★★★★☆ |
| Indian Oil (NSEI:IOC) | 7.79% | ★★★★★☆ |
| Bharat Petroleum (NSEI:BPCL) | 6.02% | ★★★★★☆ |
| Oil and Natural Gas (NSEI:ONGC) | 3.58% | ★★★★★☆ |
| Redington (NSEI:REDINGTON) | 3.05% | ★★★★★☆ |
| Bank of Baroda (NSEI:BANKBARODA) | 3.02% | ★★★★★☆ |
| PTC India (NSEI:PTC) | 3.46% | ★★★★★☆ |
Click here to see the full list of 16 stocks from our Top Indian Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Bank of Baroda
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Bank of Baroda Limited offers a range of banking products and services to individuals, government departments, and corporate customers both in India and internationally, with a market cap of ₹1.31 trillion.
Operations: Bank of Baroda Limited's revenue segments include retail banking, corporate banking, treasury operations, and other financial services.
Dividend Yield: 3%
Bank of Baroda reported a net income of ₹47.28 billion for Q1 2024, up from ₹44.52 billion a year ago, with basic earnings per share at ₹9.14. The bank's dividend yield stands in the top 25% of Indian market payers, although its dividend history has been volatile over the past decade. Despite having a high level of bad loans (2.9%), its current payout ratio is low (20.9%), suggesting dividends are well-covered by earnings and expected to remain sustainable in the near future.
Bharat Petroleum
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Bharat Petroleum Corporation Limited refines crude oil and markets petroleum products in India, with a market cap of ₹1.52 trillion.
Operations: Bharat Petroleum Corporation Limited generates revenue primarily from its Downstream Petroleum segment, amounting to ₹5.07 billion, and the Exploration & Production of Hydrocarbons segment, contributing ₹1.92 billion.
Dividend Yield: 6%
Bharat Petroleum Corporation Limited (BPCL) reported Q1 2024 net income of ₹28.42 billion, down from ₹106.44 billion a year ago, with basic earnings per share at ₹6.65. Despite recent earnings volatility, BPCL's dividend yield is among the top 25% in India and has grown over the past decade. The company's dividends are well-covered by both earnings and cash flows, with payout ratios of 33.3% and 34.6%, respectively, but its dividend history remains unstable.