In This Article:
The United Kingdom's FTSE 100 index recently experienced a downturn, influenced by weak trade data from China, highlighting the interconnectedness of global markets and the impact of international economic conditions on domestic indices. Amidst this backdrop, dividend stocks present an attractive option for investors seeking steady income streams, as they can offer stability and potential returns despite broader market volatility.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| James Latham (AIM:LTHM) | 5.75% | ★★★★★★ |
| 4imprint Group (LSE:FOUR) | 3.11% | ★★★★★☆ |
| OSB Group (LSE:OSB) | 8.73% | ★★★★★☆ |
| Impax Asset Management Group (AIM:IPX) | 7.14% | ★★★★★☆ |
| Man Group (LSE:EMG) | 6.28% | ★★★★★☆ |
| Dunelm Group (LSE:DNLM) | 6.58% | ★★★★★☆ |
| Plus500 (LSE:PLUS) | 6.28% | ★★★★★☆ |
| DCC (LSE:DCC) | 3.90% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 3.74% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.55% | ★★★★★☆ |
Click here to see the full list of 62 stocks from our Top UK Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
HSBC Holdings
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: HSBC Holdings plc is a global provider of banking and financial services, with a market capitalization of approximately £121.59 billion.
Operations: HSBC Holdings plc generates its revenue from several key segments, including Commercial Banking ($15.43 billion), Global Banking and Markets ($16.16 billion), and Wealth and Personal Banking ($40.10 billion).
Dividend Yield: 6.9%
HSBC Holdings' dividend yield is in the top 25% of UK payers, yet its nine-year dividend history shows volatility with a high bad loans ratio of 2.2%. The payout is covered by earnings, maintaining a reasonable payout ratio forecast to remain stable. Recent executive changes include Pam Kaur's appointment as CFO, potentially impacting strategic direction. Despite trading below estimated fair value, the unstable dividend track record poses concerns for long-term reliability.
Norcros
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Norcros plc, with a market cap of £231.65 million, develops, manufactures, and markets bathroom and kitchen products in the United Kingdom, Ireland, and South Africa.
Operations: Norcros plc generates revenue of £392.10 million from its Building Products segment, which encompasses the development and marketing of bathroom and kitchen products across the United Kingdom, Ireland, and South Africa.