The materials industry is deeply cyclical with producers benefiting highly during an economic boom and many players going bankrupt in a bust. Hence an eye toward macroeconomic factors, such as demand for commodities, is necessary when investing in the materials sector. These materials stocks are also well-positioned to take advantage of rising commodity prices while offering an attractive dividend yield. Below is my list of huge dividend-paying stocks in the materials industry that continues to add value to my portfolio holdings.

Tiande Chemical Holdings Limited (SEHK:609)

609 has a great dividend yield of 5.26% and is currently distributing 34.87% of profits to shareholders . While there’s been some fluctuation in the yield over the last 10 years, the dividends per share have increased in this time. The company has a lower PE ratio than the HK Chemicals industry, which interested investors would be happy to see. The company’s PE is currently 6.5 while the industry is sitting higher at 10. Continue research on Tiande Chemical Holdings here.

Luks Group (Vietnam Holdings) Company Limited (SEHK:366)

366 has a substantial dividend yield of 4.23% and is currently distributing 58.87% of profits to shareholders . While there’s been some fluctuation in the yield over the last 10 years, the dividends per share have increased in this time. The company has maintained a positive earnings per share growth over the last five years. Continue research on Luks Group (Vietnam Holdings) here.

China Hengshi Foundation Company Limited (SEHK:1197)

1197 has a juicy dividend yield of 5.17% and their payout ratio stands at 40.37% . Besides the potential capital gains, 1197’s yield alone is better than the low risk savings rate. Plus, a 5.17% yield places it amidst the market’s top dividend payers. The company has a lower PE ratio than the HK Chemicals industry, which interested investors would be happy to see. The company’s PE is currently 7.8 while the industry is sitting higher at 10. More detail on China Hengshi Foundation 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.