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The UK stock market has recently experienced some turbulence, with the FTSE 100 index closing lower amid concerns over weak trade data from China, which is a significant trading partner for many British companies. In such uncertain times, dividend stocks can offer a measure of stability and income potential, making them an attractive option for investors seeking to navigate these challenging market conditions.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| WPP (LSE:WPP) | 6.13% | ★★★★★★ |
| Man Group (LSE:EMG) | 6.45% | ★★★★★☆ |
| Keller Group (LSE:KLR) | 3.70% | ★★★★★☆ |
| 4imprint Group (LSE:FOUR) | 3.22% | ★★★★★☆ |
| Dunelm Group (LSE:DNLM) | 8.04% | ★★★★★☆ |
| OSB Group (LSE:OSB) | 7.64% | ★★★★★☆ |
| DCC (LSE:DCC) | 3.79% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 4.90% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.63% | ★★★★★☆ |
| James Latham (AIM:LTHM) | 7.66% | ★★★★★☆ |
Click here to see the full list of 61 stocks from our Top UK Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Associated British Foods
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Associated British Foods plc is a diversified company engaged in food, ingredients, and retail operations globally, with a market cap of £13.97 billion.
Operations: Associated British Foods plc generates its revenue from several segments, including Retail (£9.45 billion), Grocery (£4.24 billion), Sugar (£2.53 billion), Ingredients (£2.13 billion), and Agriculture (£1.65 billion).
Dividend Yield: 4.7%
Associated British Foods offers a dividend yield of 4.66%, which is lower than the top UK payers. Its dividends are well-covered by earnings and cash flows, with payout ratios of 32.5% and 38.5% respectively, suggesting sustainability despite past volatility and an unstable track record over the last decade. Trading below estimated fair value, ABF presents good relative value compared to peers, though its dividend reliability remains a concern for investors seeking stable income streams.
Kenmare Resources
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Kenmare Resources plc operates in the production and sale of mineral sand products across various international markets, with a market capitalization of approximately £379.67 million.
Operations: Kenmare Resources plc generates revenue from its Moma Titanium Minerals Mine, amounting to $380.68 million.
Dividend Yield: 9.8%
Kenmare Resources offers a high dividend yield, ranking in the top 25% of UK payers, with payments well-covered by both earnings and cash flows. Despite only six years of dividend history, payouts have grown steadily. However, recent volatility in share price and declining profit margins may concern investors. The company rejected a £400 million acquisition proposal for undervaluing its business but remains open to improved offers, potentially impacting future dividends.