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Federated Investors is one of companies that can help grow your investment income by paying large dividends. These stocks are a safe bet to increase your portfolio value as they provide both steady income and cushion against market risks. Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. As a long term investor with a short term temperament, I highly recommend these top dividend stocks.
Federated Investors, Inc. (NYSE:FII)
Federated Investors, Inc. is a publicly owned asset management holding company. Founded in 1955, and headed by CEO John Donahue, the company currently employs 1,463 people and with the stock’s market cap sitting at USD $3.23B, it comes under the mid-cap group.
FII has a nice dividend yield of 3.14% and is distributing 34.80% of earnings as dividends , and analysts are expecting a 46.10% payout ratio in the next three years. FII’s DPS have risen to $1 from $0.84 over a 10 year period. To the enjoyment of shareholders, the company hasn’t missed a payment during this period. The company recorded earnings growth of 39.08% in the past year, comparing favorably with the us capital markets industry average of 18.01%. More on Federated Investors here.
Hawaiian Electric Industries, Inc. (NYSE:HE)
Hawaiian Electric Industries, Inc., through its subsidiaries, engages in the electric utility and banking businesses primarily in the state of Hawaii. Established in 1891, and currently run by Constance Lau, the company currently employs 3,796 people and with the company’s market capitalisation at USD $3.45B, we can put it in the mid-cap group.
HE has a sizeable dividend yield of 3.81% and pays 75.91% of it’s earnings as dividends . While HE have continued to pay a dividend, there has been no increase in the past 10 years. Continue research on Hawaiian Electric Industries here.
ALLETE, Inc. (NYSE:ALE)
ALLETE, Inc. operates as an energy company. Started in 1906, and currently run by Alan Hodnik, the company size now stands at 2,021 people and with the stock’s market cap sitting at USD $3.50B, it comes under the mid-cap group.
ALE has a good dividend yield of 3.21% and their payout ratio stands at 61.10% , with analysts expecting a 61.45% payout in three years. ALE’s last dividend payment was $2.24, up from it’s payment 10 years ago of $1.72. It should comfort existing and potential future shareholders to know that ALE hasn’t missed a payment during this time. Interested in ALLETE? Find out more here.
For more solid dividend payers to add to your portfolio, you can use our free platform to explore our 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.