In the current global market landscape, rising U.S. Treasury yields have put pressure on stocks, with the S&P 500 Index finishing lower after a strong six-week performance streak. Amidst these fluctuations, investors are increasingly turning their attention to dividend stocks as a potential source of steady income and stability. A good dividend stock often combines reliable payout history with resilience in varying economic conditions, making it an attractive option for those navigating today's uncertain financial environment.
Top 10 Dividend Stocks
Name
Dividend Yield
Dividend Rating
Peoples Bancorp (NasdaqGS:PEBO)
5.08%
★★★★★★
Intelligent Wave (TSE:4847)
3.93%
★★★★★★
Financial Institutions (NasdaqGS:FISI)
4.90%
★★★★★★
China South Publishing & Media Group (SHSE:601098)
Overview: Xi'an Shaangu Power Co., Ltd. offers systematic solutions and services in the People’s Republic of China, with a market capitalization of CN¥15.08 billion.
Operations: Xi'an Shaangu Power Co., Ltd. generates revenue through its systematic solutions and services in the People’s Republic of China.
Dividend Yield: 4.1%
Xi'an Shaangu Power's dividend yield of 4.1% ranks it among the top 25% of dividend payers in China, yet its sustainability is questionable due to a high payout ratio of 101.2%. While dividends are covered by cash flows, they remain volatile and unreliable over the past decade. Recent earnings show slight revenue growth but a decline in net income, impacting dividend coverage from earnings. The stock trades at a favorable price-to-earnings ratio compared to the market average.
Overview: Zhejiang Development Group Co., Ltd operates in commodity trading, financial leasing, online retailing, car sales and after-service, and warehousing logistics services both in China and internationally, with a market cap of approximately CN¥4.32 billion.
Operations: Zhejiang Development Group Co., Ltd generates revenue through its operations in commodity trading, financial leasing, online retailing, car sales and after-service, and warehousing logistics services.
Dividend Yield: 5.7%
Zhejiang Development Group offers a high dividend yield of 5.72%, placing it in the top 25% of Chinese dividend payers, yet its dividends are volatile and not covered by free cash flows. Despite having a low payout ratio of 45.5%, earnings have declined, with net income dropping to CNY 418.17 million for the first nine months of 2024 from CNY 522.34 million last year, challenging dividend sustainability. The stock trades at an attractive price-to-earnings ratio of 7.1x against the market average.
Overview: Menora Mivtachim Holdings Ltd operates in the insurance and finance sectors in Israel, with a market cap of ₪7.05 billion.
Operations: Menora Mivtachim Holdings Ltd generates revenue from various segments, including ₪2.22 billion from Health Insurance, ₪5.32 billion from Life Insurance and Long Term Savings - Life Insurance, ₪0.74 billion from Life Insurance and Long Term Savings - Pension, ₪0.56 billion from Life Insurance and Long Term Savings - Provident, ₪1.75 billion from General Insurance - Automobile Property Insurance, ₪0.89 billion from General Insurance - Compulsory Vehicle Insurance, and ₪0.41 billion from General Insurance - Property Divisions and Others.
Dividend Yield: 4.9%
Menora Mivtachim Holdings' dividend payments are well supported by earnings and cash flows, with a payout ratio of 36.1% and a cash payout ratio of 49.8%. However, the dividend yield of 4.9% is lower than the top IL market payers, and its track record shows volatility over the past decade. Recent impairments were reported alongside improved earnings for Q2 2024, with net income rising significantly to ILS 296.95 million from ILS 21.16 million year-over-year.
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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 SHSE:601369 SZSE:000906 and TASE:MMHD.
