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The United Kingdom's FTSE 100 index has recently faced downward pressure, influenced by weak trade data from China and a sluggish global economic outlook. In such uncertain market conditions, dividend stocks can provide a reliable income stream and potential for capital appreciation. Here are three UK dividend stocks yielding up to 6% that may offer stability in these volatile times.
Top 10 Dividend Stocks In The United Kingdom
Name | Dividend Yield | Dividend Rating |
James Latham (AIM:LTHM) | 5.97% | ★★★★★★ |
4imprint Group (LSE:FOUR) | 3.12% | ★★★★★☆ |
Impax Asset Management Group (AIM:IPX) | 7.62% | ★★★★★☆ |
Man Group (LSE:EMG) | 5.71% | ★★★★★☆ |
Big Yellow Group (LSE:BYG) | 3.61% | ★★★★★☆ |
Plus500 (LSE:PLUS) | 5.76% | ★★★★★☆ |
DCC (LSE:DCC) | 3.71% | ★★★★★☆ |
Dunelm Group (LSE:DNLM) | 6.23% | ★★★★★☆ |
NWF Group (AIM:NWF) | 4.91% | ★★★★★☆ |
Grafton Group (LSE:GFTU) | 3.34% | ★★★★★☆ |
Click here to see the full list of 58 stocks from our Top UK Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
Hargreaves Services
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Hargreaves Services Plc offers environmental and industrial services across the United Kingdom, Southeast Asia, and South Africa with a market cap of £195.46 million.
Operations: Hargreaves Services Plc generates revenue from its Services segment (£206.86 million) and Hargreaves Land segment (£7.04 million).
Dividend Yield: 6.1%
Hargreaves Services' dividend yield of 6.06% places it in the top quartile of UK dividend payers, but its sustainability is questionable with a high payout ratio of 94.8% and volatile dividends over the past decade. Despite recent earnings decline to £12.28 million from £27.92 million, the company announced a substantial final dividend increase to 18 pence per share for 2024, contingent on AGM approval, reflecting improved cash flow management despite lower profit margins.
4imprint Group
Simply Wall St Dividend Rating: ★★★★★☆
Overview: 4imprint Group plc, with a market cap of £1.48 billion, operates as a direct marketer of promotional products in North America, the United Kingdom, and Ireland.
Operations: 4imprint Group plc generates revenue of $25 million in the UK and Ireland and $1.33 billion in North America.
Dividend Yield: 3.1%
4imprint Group's recent earnings report showed a rise in sales to US$667.5 million and net income to US$54.7 million for the half year ended June 29, 2024. The company declared an interim dividend of 80 cents per share, up from 65 cents last year, with dividends consistently growing over the past decade. With a payout ratio of 58.1%, dividends are well-covered by earnings and cash flows, although its yield of 3.12% is below top-tier UK dividend payers.