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The UK stock market has recently faced challenges, with the FTSE 100 index experiencing declines due to weak trade data from China, which has impacted companies heavily reliant on the Chinese economy. As global economic uncertainties persist, investors may find stability in dividend stocks that offer consistent income streams and potential resilience amid market fluctuations.
Top 10 Dividend Stocks In The United Kingdom
Name | Dividend Yield | Dividend Rating |
Pets at Home Group (LSE:PETS) | 6.18% | ★★★★★★ |
Keller Group (LSE:KLR) | 3.49% | ★★★★★☆ |
4imprint Group (LSE:FOUR) | 3.30% | ★★★★★☆ |
OSB Group (LSE:OSB) | 8.38% | ★★★★★☆ |
Dunelm Group (LSE:DNLM) | 8.06% | ★★★★★☆ |
Man Group (LSE:EMG) | 6.14% | ★★★★★☆ |
Big Yellow Group (LSE:BYG) | 4.85% | ★★★★★☆ |
DCC (LSE:DCC) | 3.68% | ★★★★★☆ |
Grafton Group (LSE:GFTU) | 4.04% | ★★★★★☆ |
James Latham (AIM:LTHM) | 6.72% | ★★★★★☆ |
Click here to see the full list of 61 stocks from our Top UK Dividend Stocks screener.
Let's uncover some gems from our specialized screener.
James Latham
Simply Wall St Dividend Rating: ★★★★★☆
Overview: James Latham plc, with a market cap of £234.54 million, imports and distributes timbers, panels, and decorative surfaces across the United Kingdom, the Republic of Ireland, Europe, and internationally.
Operations: James Latham plc generates revenue of £362.22 million from its timber importing and distribution segment.
Dividend Yield: 6.7%
James Latham offers a dividend yield of 6.72%, placing it in the top 25% of UK dividend payers. The company has a history of reliable and stable dividend payments over the past decade, with dividends growing consistently. However, its high cash payout ratio (107%) indicates that dividends are not well covered by free cash flows, raising concerns about sustainability. Recent earnings showed a decline in net income to £10.16 million for the half year ended September 2024, compared to £12.37 million previously.
Conduit Holdings
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Conduit Holdings Limited, along with its subsidiaries, offers reinsurance products and services globally and has a market cap of £719.74 million.
Operations: Conduit Holdings Limited generates its revenue from three main segments: $174.60 million from Casualty, $320 million from Property, and $124.30 million from Specialty reinsurance products and services worldwide.
Dividend Yield: 6.5%
Conduit Holdings offers a dividend yield of 6.45%, ranking it among the top 25% of UK dividend payers. Despite its attractive yield, the company has an unstable and volatile dividend track record over the past three years. Dividends are well covered by earnings (27.2% payout ratio) and cash flows (15.9% cash payout ratio), suggesting sustainability in payments despite their unreliability. The stock trades at a favorable value with a low price-to-earnings ratio of 4.2x compared to the UK market average of 16x.