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As the FTSE 100 continues its record-breaking performance, investor interest in stable income streams through dividend stocks remains high. In light of the current market dynamics and economic updates, a good dividend stock typically offers not only a reliable payout but also stands resilient during various market conditions, making it an appealing option for those looking to enhance their investment portfolios in May 2024.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| Record (LSE:REC) | 8.12% | ★★★★★★ |
| Dunelm Group (LSE:DNLM) | 7.69% | ★★★★★☆ |
| DCC (LSE:DCC) | 3.29% | ★★★★★☆ |
| Plus500 (LSE:PLUS) | 5.97% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.69% | ★★★★★☆ |
| Rio Tinto Group (LSE:RIO) | 6.02% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 3.58% | ★★★★★☆ |
| James Latham (AIM:LTHM) | 3.01% | ★★★★★☆ |
| Hargreaves Services (AIM:HSP) | 6.41% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 3.84% | ★★★★★☆ |
Click here to see the full list of 55 stocks from our Top Dividend Stocks screener.
We'll examine a selection from our screener results.
Brooks Macdonald Group
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Brooks Macdonald Group plc offers investment and wealth management services to private clients, pension funds, professional intermediaries, and trustees across the UK, Isle of Man, and Channel Islands, with a market capitalization of approximately £328.37 million.
Operations: Brooks Macdonald Group generates international revenue of £19.62 million and has a segment adjustment totaling £113.99 million.
Dividend Yield: 3.7%
Brooks Macdonald recently appointed Alex Charalambous as head of wealth, a move signaling a strategic focus on high-net-worth clients. Despite this positive development, the firm faces challenges with a recent net loss of £3.38 million and a strategic review of its underperforming international business. While the dividend increased slightly to 29 pence per share, it's not well-covered by earnings or free cash flow, indicating potential sustainability issues despite stable historical payouts.
Shoe Zone
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Shoe Zone plc is a UK-based footwear retailer with a market capitalization of approximately £88.99 million.
Operations: Shoe Zone plc generates its revenue primarily through its footwear retailing operations, totaling approximately £165.66 million.
Dividend Yield: 9%
Shoe Zone offers a high dividend yield at 9.04%, ranking in the top 25% of UK dividend payers. However, its dividends show signs of instability, with a history of unpredictable payments over the past nine years and only a recent initiation into consistent payouts. Despite this, both earnings and cash flows adequately cover current dividends, with payout ratios at 39.9% and 31.5% respectively. The company's share price has been volatile recently, adding an element of risk for potential investors.