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In the last week, the Indian market has been flat, but it is up 43% over the past year with earnings forecasted to grow by 17% annually. In such a dynamic environment, dividend stocks can offer a stable income stream while potentially benefiting from overall market growth.

Top 10 Dividend Stocks In India

Click here to see the full list of 16 stocks from our Top Indian Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

Bharat Petroleum

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Bharat Petroleum Corporation Limited primarily engages in refining crude oil and marketing petroleum products in India and internationally, with a market cap of ₹1.55 trillion.

Operations: Bharat Petroleum Corporation Limited generates revenue from its Downstream Petroleum segment, amounting to ₹5.07 billion, and from Exploration & Production of Hydrocarbons, totaling ₹1.92 billion.

Dividend Yield: 5.9%

Bharat Petroleum Corporation Limited (BPCL) offers a compelling dividend yield of 5.88%, positioning it in the top 25% of Indian dividend payers. The company's dividends are well-covered by earnings and cash flows, with payout ratios of 33.3% and 34.6% respectively, ensuring sustainability. However, BPCL's dividend history has been volatile over the past decade, and recent financial performance showed a significant drop in net income to ₹28.42 billion from ₹106.44 billion year-over-year as of Q1 2024.

• Click to explore a detailed breakdown of our findings in Bharat Petroleum's dividend report.

• In light of our recent valuation report, it seems possible that Bharat Petroleum is trading behind its estimated value.

D. B

Simply Wall St Dividend Rating: ★★★★★☆

Overview: D. B. Corp Limited operates in newspaper printing and publishing, radio broadcasting, and digital news platforms for news and event management businesses both in India and internationally, with a market cap of ₹58.91 billion.

Operations: D. B. Corp Limited's revenue segments include ₹22.77 billion from printing, publishing, and allied businesses and ₹1.62 billion from radio broadcasting.

Dividend Yield: 5.1%

D. B. Corp Limited's dividend yield of 5.14% places it among the top 25% of Indian dividend payers, with dividends covered by earnings (65.2%) and cash flows (57%). However, its dividend history has been volatile over the past decade despite recent increases. The company reported strong financial performance for Q1 2024, with net income rising to ₹1.18 billion from ₹787.59 million year-over-year, reflecting robust earnings growth and improved revenue figures.

• Dive into the specifics of D. B here with our thorough dividend report.

• The analysis detailed in our D. B valuation report hints at an deflated share price compared to its estimated value.

Indian Oil

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Indian Oil Corporation Limited, with a market cap of ₹2.44 trillion, refines, pipeline transports, and markets petroleum products in India and internationally through its subsidiaries.

Operations: Indian Oil Corporation Limited generates revenue primarily from petroleum products (₹8.25 billion) and petrochemicals (₹262.95 million).

Dividend Yield: 7.9%

Indian Oil Corporation's dividend yield of 7.91% ranks in the top 25% of Indian dividend payers, supported by earnings (payout ratio: 39.6%) and cash flows (cash payout ratio: 56.8%). Despite a history of volatility, dividends have grown over the past decade. Recent Q1 earnings showed a significant decline in net income to ₹35.28 billion from ₹144.37 billion year-over-year, highlighting potential concerns for future payouts despite recent approval of a final dividend of ₹7 per share for FY2023-24.

• Click here and access our complete dividend analysis report to understand the dynamics of Indian Oil.

• Our comprehensive valuation report raises the possibility that Indian Oil is priced lower than what may be justified by its financials.

Summing It All Up

• Explore the 16 names from our Top Indian Dividend Stocks screener here.

• Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.

• Unlock the power of informed investing with Simply Wall St, your free guide to navigating stock markets worldwide.

Looking For Alternative Opportunities?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.

• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.

• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NSEI:BPCL NSEI:DBCORP and NSEI:IOC.

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