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Top U.S. Dividend Stocks
UPDATED Jul 03, 2022
What are the best U.S. Dividend Stocks?
According to our Simply Wall St analysis these are the best U.S. dividend companies. We look for companies with high quality dividends and healthy balance sheets to find the top Dividend Stocks.
Our criteria to find Top Dividend Companies
High Yield
- Companies with a high dividend yield are more attractive due to the higher expected income for each dollar invested.
- Yields vary between markets, so we focus on the top dividend payers in each market.
What do we look for?
- Is the yield in the top 25% of the market's dividend payers.
Consistent Dividends
- Companies with a strong track record of paying a consistent and growing dividend are the most attractive.
- If the dividend has been cut substantially in the past, then it's difficult to be confident about future payments.
What do we look for?
- Has the dividend been stable over the last 10 years.
- Has the dividend grown over the last 10 years.
Dividend Cover
- Ideally the company doesn't pay out all of its earnings, neglecting future growth.
- If a company is unable to afford its dividend, then it will probably lead to a dividend cut and share price erosion.
What do we look for?
- Are dividends covered by earnings.
- Are dividends forecast to be covered by earnings in the future.
Healthy Balance Sheet
- Investors want to make sure the company is positioned to cover its debts. Repayments on debt typically take priority over shareholder return initiatives.
What do we look for?
- Does the company have a manageable level of debt.
- Is the company able to cover its interest repayments.
57 companies meet this criteria in the U.S. market
Columbia Banking System, Inc. operates as the bank holding company for Columbia State Bank that provides a range of banking services to small and medium-sized businesses, professionals, and individuals in the United States.
Dividend Criteria
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: COLB's dividend (4.02%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Stable Dividend
Rewards
Trading at 47.5% below our estimate of its fair value
Earnings are forecast to grow 55.44% per year
Earnings have grown 11.5% per year over the past 5 years
Risks
Shareholders have been diluted in the past year
UnitedHealth Group Incorporated operates as a diversified health care company in the United States.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: UNH's dividend (1.28%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Rewards
Trading at 32.8% below our estimate of its fair value
Earnings are forecast to grow 11.85% per year
Earnings have grown 13.7% per year over the past 5 years
Risks
Significant insider selling over the past 3 months
Standex International Corporation, together with subsidiaries, manufactures and sells various products and services for commercial and industrial markets in the United States and internationally.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Notable Dividend
High Dividend: SXI's dividend (1.22%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Future Dividend Coverage
Rewards
Trading at 54.6% below our estimate of its fair value
Earnings are forecast to grow 20.12% per year
Earnings grew by 107.5% over the past year
Risks
Significant insider selling over the past 3 months
New York Community Bancorp, Inc. operates as the bank holding company for New York Community Bank that provides banking products and services in Metro New York, New Jersey, Ohio, Florida, and Arizona.
Dividend Criteria
Earnings Coverage
Future Dividend Coverage
High Dividend: NYCB's dividend (7.32%) is in the top 25% of dividend payers in the US market (4.25%)
Notable Dividend
Growing Dividend
Stable Dividend
Rewards
Trading at 22.9% below our estimate of its fair value
Earnings are forecast to grow 29.3% per year
Earnings grew by 9.7% over the past year
Risks
No risks detected for NYCB from our risks checks.
First Merchants Corporation operates as the financial holding company for First Merchants Bank that provides community banking services.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Notable Dividend
High Dividend: FRME's dividend (3.53%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Future Dividend Coverage
Rewards
Trading at 65.1% below our estimate of its fair value
Earnings are forecast to grow 18.99% per year
Earnings grew by 24.9% over the past year
Risks
Shareholders have been diluted in the past year
Significant insider selling over the past 3 months
360 DigiTech, Inc., through its subsidiaries, operates financial technology platform under the 360 Jietiao brand in the People’s Republic of China.
Dividend Criteria
Earnings Coverage
Future Dividend Coverage
High Dividend: QFIN's dividend (5.07%) is in the top 25% of dividend payers in the US market (4.25%)
Notable Dividend
Growing Dividend
Stable Dividend
Rewards
Trading at 86.6% below our estimate of its fair value
Earnings are forecast to grow 16.8% per year
Earnings grew by 20.5% over the past year
Risks
No risks detected for QFIN from our risks checks.
Haynes International, Inc. develops, manufactures, markets, and distributes nickel and cobalt-based alloys in sheet, coil, and plate forms in the United States, Europe, Asia, and internationally.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Notable Dividend
High Dividend: HAYN's dividend (2.75%) is low compared to the top 25% of dividend payers in the US market (4.25%).
Future Dividend Coverage
Rewards
Earnings are forecast to grow 64.85% per year
Became profitable this year
Risks
High level of non-cash earnings
Hooker Furnishings Corporation designs, manufactures, imports, and markets residential household, hospitality, and contract furniture.
Dividend Criteria
Stable Dividend
Growing Dividend
High Dividend: HOFT's dividend (5.15%) is in the top 25% of dividend payers in the US market (4.25%)
Notable Dividend
Future Dividend Coverage
Earnings Coverage
Rewards
Trading at 51.9% below our estimate of its fair value
Earnings are forecast to grow 66.49% per year
Risks
Profit margins (0.9%) are lower than last year (5.6%)