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The United Kingdom's stock market has recently been influenced by global economic challenges, with the FTSE 100 index experiencing declines due to weak trade data from China. As investors navigate these turbulent waters, dividend stocks can offer a measure of stability and income, making them an attractive option for those seeking reliable returns amidst uncertain market conditions.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| James Latham (AIM:LTHM) | 5.73% | ★★★★★★ |
| 4imprint Group (LSE:FOUR) | 3.29% | ★★★★★☆ |
| Keller Group (LSE:KLR) | 3.05% | ★★★★★☆ |
| OSB Group (LSE:OSB) | 8.53% | ★★★★★☆ |
| Plus500 (LSE:PLUS) | 5.96% | ★★★★★☆ |
| Man Group (LSE:EMG) | 5.55% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 3.61% | ★★★★★☆ |
| Dunelm Group (LSE:DNLM) | 6.87% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.98% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.61% | ★★★★★☆ |
Click here to see the full list of 60 stocks from our Top UK Dividend Stocks screener.
Let's review some notable picks from our screened stocks.
NWF Group
Simply Wall St Dividend Rating: ★★★★★☆
Overview: NWF Group plc, with a market cap of £80.36 million, primarily operates in the sale and distribution of fuel oils in the United Kingdom through its subsidiaries.
Operations: NWF Group plc generates its revenue from three main segments: Fuels (£684.90 million), Feeds (£195.10 million), and Food (£77.80 million).
Dividend Yield: 5%
NWF Group has consistently increased its dividend for 13 years, with a recent 3.8% rise to a total of 8.1 pence per share for the year. The payout ratio of 44% and cash payout ratio of 37.8% indicate dividends are well-covered by earnings and cash flows, suggesting sustainability. Despite trading below estimated fair value, NWF's dividend yield is slightly lower than top UK payers but remains reliable and stable over the past decade.
Solid State
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Solid State plc, with a market cap of £149.22 million, designs, manufactures, and supplies electronic equipment across the United Kingdom, Europe, Asia, North America, and other international markets.
Operations: Solid State plc generates revenue through its Systems Division, which accounts for £103.47 million, and its Components Division, contributing £59.83 million.
Dividend Yield: 8.2%
Solid State's dividend yield of 8.19% ranks among the top 25% in the UK, but its sustainability is questionable due to a high cash payout ratio of 150.6%. While dividends have been stable and growing over the past decade, they are not well covered by free cash flow despite a low payout ratio of 27.6%. Recent earnings growth of 32.6% highlights strong performance, yet significant insider selling raises concerns about future stability.