Transport and automobile names generally suffer from deep cyclicality which can affect companies operating in areas ranging from airfreight and logistics to infrastructure. Hence, considering economic volatility crucial when thinking about these companies’ profitability. This impacts cash flows which in turn determines the level of dividend payout. During times of growth, these companies could provide a strong boost to your portfolio income. Here are my top dividend stocks in the transport and automobile industry that could be valuable additions to your current holdings.

Xingda International Holdings Limited (SEHK:1899)

1899 has an appealing dividend yield of 5.34% and their current payout ratio is 47.45% , and analysts are expecting the payout ratio in three years to hit 70.59%. Although there has been some volatility in the company’s dividend yield, the DPS over a 10 year period has increased from CN¥0.089 to CN¥0.15. Dig deeper into Xingda International Holdings here.

Qingling Motors Co., Ltd. (SEHK:1122)

1122 has a substantial dividend yield of 7.02% and is currently distributing 82.19% of profits to shareholders . 1122’s dividends have seen an increase over the past 10 years, with payments increasing from CN¥0.022 to CN¥0.18 in that time. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. It should comfort potential investors that the company isn’t expensive when we look at its PE ratio compared to the HK Auto industry. Qingling Motors’s PE ratio is 10.8 while its industry average is 12.4. Dig deeper into Qingling Motors here.

Tianneng Power International Limited (SEHK:819)

819 has a nice dividend yield of 3.31% and distributes 28.71% of its earnings to shareholders as dividends , with the expected payout in three years hitting 30.72%. Despite there being some hiccups, dividends per share have increased during the past 10 years. If analysts are correct, Tianneng Power International has some strong future growth on the horizon with an expected increase in EPS of 63.98% over the next three years. Dig deeper into Tianneng Power International here.

For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.

To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.