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As the FTSE 100 shows signs of rebounding after recent losses, and with a broader optimistic outlook in European markets, investors are closely monitoring shifts in market dynamics. In this context, understanding what constitutes a strong dividend stock becomes crucial, particularly when navigating through fluctuating commodity prices and varying sector performances.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| Record (LSE:REC) | 7.88% | ★★★★★★ |
| Impax Asset Management Group (AIM:IPX) | 6.40% | ★★★★★☆ |
| Keller Group (LSE:KLR) | 3.51% | ★★★★★☆ |
| DCC (LSE:DCC) | 3.41% | ★★★★★☆ |
| Plus500 (LSE:PLUS) | 5.91% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 3.63% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.55% | ★★★★★☆ |
| Rio Tinto Group (LSE:RIO) | 6.17% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.08% | ★★★★★☆ |
| Hargreaves Services (AIM:HSP) | 6.34% | ★★★★★☆ |
Click here to see the full list of 57 stocks from our Top Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
IG Group Holdings
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: IG Group Holdings plc is a fintech company that operates globally in the online trading sector, with a market capitalization of approximately £3.06 billion.
Operations: IG Group Holdings generates its revenue primarily through its brokerage services, amounting to £954.70 million.
Dividend Yield: 5.5%
IG Group Holdings has maintained a stable dividend over the past decade, with payments increasing despite challenges. Recent revenue results show a slight year-over-year increase for Q3 2024 but a decrease in the nine-month period compared to the previous year. While dividends are supported by earnings with a payout ratio of 61.1%, the cash payout ratio at 153% raises concerns about sustainability from cash flows alone. Upcoming executive transitions could influence future financial strategies and stability.
Pets at Home Group
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Pets at Home Group Plc is a specialist omnichannel retailer based in the United Kingdom, offering pet food, related products, and accessories, with a market capitalization of approximately £1.48 billion.
Operations: Pets at Home Group Plc generates its revenue primarily through two segments: retail sales amounting to £1.33 billion and veterinary services contributing £146.50 million.
Dividend Yield: 4%
Pets at Home Group reported a year-over-year sales increase to £1.48 billion and a net income of £79.2 million for FY 2024, though earnings per share declined. Despite this, the company maintained its dividend at 12.8 pence per share with a payout ratio aiming towards 50%. The addition of Garret Turley to the board could enhance governance, focusing on ESG initiatives which may impact long-term sustainability and appeal to socially conscious investors.