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Top U.S. Dividend Stocks
UPDATED Mar 20, 2023
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.
40 companies meet this criteria in the U.S. market
First Interstate BancSystem, Inc. operates as the bank holding company for First Interstate Bank that provides range of banking products and services in the United States.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
High Dividend: FIBK's dividend (6.13%) is in the top 25% of dividend payers in the US market (4.67%)
Notable Dividend
Rewards
Trading at 42.7% below our estimate of its fair value
Earnings are forecast to grow 28.29% per year
Earnings have grown 4.5% per year over the past 5 years
Risks
Shareholders have been substantially diluted in the past year
Significant insider selling over the past 3 months
Profit margins (19.8%) are lower than last year (29.7%)
Large one-off items impacting financial results
Provident Financial Services, Inc. operates as the bank holding company for Provident Bank that provides various banking products and services to individuals, families, and businesses in the United States.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
High Dividend: PFS's dividend (4.81%) is in the top 25% of dividend payers in the US market (4.67%)
Notable Dividend
Rewards
Trading at 42.3% below our estimate of its fair value
Earnings are forecast to grow 36.8% per year
Earnings have grown 12.4% per year over the past 5 years
Risks
Significant insider selling over the past 3 months
MVB Financial Corp., through its subsidiaries, provides financial services to individuals and corporate clients.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: MVBF's dividend (3.24%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Rewards
Trading at 63.1% below our estimate of its fair value
Earnings are forecast to grow 51.36% per year
Risks
Shareholders have been diluted in the past year
Profit margins (11.1%) are lower than last year (28.9%)
FS Bancorp, Inc. operates as a bank holding company for 1st Security Bank of Washington that provides banking and financial services to local families, local and regional businesses, and industry niches.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: FSBW's dividend (3.38%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Rewards
Trading at 62.5% below our estimate of its fair value
Earnings are forecast to grow 15.14% per year
Risks
No risks detected for FSBW from our risks checks.
Eagle Bancorp Montana, Inc. operates as the bank holding company for Opportunity Bank of Montana that provides various retail banking products and services to small businesses and individuals in Montana.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: EBMT's dividend (3.63%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Rewards
Trading at 49.4% below our estimate of its fair value
Earnings are forecast to grow 25.29% per year
Risks
Shareholders have been diluted in the past year
Significant insider selling over the past 3 months
National Bank Holdings Corporation operates as the bank holding company for NBH Bank that provides various banking products and financial services to commercial, business, and consumer clients in the United States.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: NBHC's dividend (2.92%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Rewards
Trading at 38.4% below our estimate of its fair value
Earnings are forecast to grow 32.87% per year
Risks
Shareholders have been diluted in the past year
Entravision Communications Corporation operates as an advertising, media, and technology solutions company worldwide.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Notable Dividend
High Dividend: EVC's dividend (3.5%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Future Dividend Coverage
Rewards
Trading at 58.5% below our estimate of its fair value
Earnings are forecast to grow 54.85% per year
Risks
Profit margins (1.9%) are lower than last year (3.9%)
Large one-off items impacting financial results
BankFinancial Corporation operates as the bank holding company for BankFinancial, National Association that provides various commercial, family, and personal banking products and services.
Dividend Criteria
Stable Dividend
Earnings Coverage
Growing Dividend
Future Dividend Coverage
Notable Dividend
High Dividend: BFIN's dividend (4.54%) is low compared to the top 25% of dividend payers in the US market (4.67%).
Rewards
Trading at 8.7% below our estimate of its fair value
Earnings are forecast to grow 15.25% per year
Earnings grew by 41.6% over the past year
Risks
No risks detected for BFIN from our risks checks.