Yahoo Finance Top Picks For Dividend Rockstars
Dividend stocks such as Perpetual and Harvey Norman Holdings can help diversify the constant stream of cash flows generated by your portfolio. These stocks are a safe bet to increase your portfolio value as they provide both steady income and cushion against market risks. A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. As a long term investor with a short term temperament, I highly recommend these top dividend stocks.
Perpetual Limited (ASX:PPT)
Perpetual Limited offers a range of financial products and services in Australia. Formed in 1884, and run by CEO Geoff Lloyd, the company employs 891 people and with the market cap of AUD A$1.77B, it falls under the small-cap category.
PPT has a substantial dividend yield of 7.03% and has a payout ratio of 88.90% . Dividends per share have increased during the past 10 years, but there have been a couple hiccups. However, they have historically always picked up again. More on Perpetual here.
Harvey Norman Holdings Limited (ASX:HVN)
Harvey Norman Holdings Limited grants franchises to independent business proprietors. Formed in 1982, and currently run by Kay Lesley Page, the company currently employs 5,200 people and with the market cap of AUD A$4.01B, it falls under the mid-cap group.
HVN has a sumptuous dividend yield of 6.67% and their current payout ratio is 66.89% , with analysts expecting the payout ratio in three years to be 75.43%. Despite there being some hiccups, dividends per share have increased during the past 10 years. When we compare Harvey Norman Holdings’s PE ratio with its industry, the company appears favorable. The Global Multiline Retail industry’s average ratio of 15.9 is above that of Harvey Norman Holdings’s (10). Dig deeper into Harvey Norman Holdings here.
Bank of Queensland Limited (ASX:BOQ)
Bank of Queensland Limited, together with its subsidiaries, provides various financial products and services in Australia. Established in 1874, and headed by CEO Jon Sutton, the company now has 1,859 employees and with the company’s market capitalisation at AUD A$4.02B, we can put it in the mid-cap category.
BOQ has a sumptuous dividend yield of 7.50% and their payout ratio stands at 81.07% , with analysts expecting a 82.45% payout in the next three years. Although investors would have seen a few years of reduced payments, it has picked up again, with dividends increasing from AU$0.72 to AU$0.76 over the past 10 years. Bank of Queensland’s performance over the last 12 months beat the au banks industry, with the company reporting 11.28% EPS growth compared to its industry’s figure of 8.48%. Interested in Bank of Queensland? Find out more 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.
