The industrials sector tends to be highly cyclical, impacting companies operating in an array of areas such as building products, aerospace and defence. Hence, considering economic volatility is of paramount importance when thinking about an industrials company’s profitability. Cash flow availability also drives dividend payout, so in times of growth, these companies could provide hefty dividend income for your portfolio. As a long term investor, I favour these industrials stocks with great dividend payments that continues to add value to my portfolio.

Watsco, Inc. (NYSE:WSO)

WSO has a good-sized dividend yield of 2.94% and pays out 80.63% of its profit as dividends . While the yield has dropped at times in the last 10 years, dividends per share during this time have increased overall from $1.6 to $5.

Hubbell Incorporated (NYSE:HUBB)

HUBB has a good-sized dividend yield of 2.28% and the company currently pays out 53.78% of its profits as dividends . The company’s dividends per share have risen from $1.32 to $3.08 over the last 10 years. They have been dependable too, not missing a single payment in this time.

Icahn Enterprises L.P. (NASDAQ:IEP)

IEP has a enticing dividend yield of 11.32% and is currently distributing 49.02% 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 US Industrial Conglomerates industry, which interested investors would be happy to see. The company’s PE is currently 4.3 while the industry is sitting higher at 11.

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.