Top U.S. Dividend Stocks

Top U.S. Dividend Stocks

UPDATED Jun 29, 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.

54 companies meet this criteria in the U.S. market

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 (5.08%) is in the top 25% of dividend payers in the US market (4.25%)

  • Notable Dividend

  • Growing Dividend

  • Stable Dividend

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Rewards

  • Trading at 86.5% 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.

View all Risks and Rewards

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 (3.58%) is low compared to the top 25% of dividend payers in the US market (4.25%).

  • Future Dividend Coverage

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Rewards

  • Trading at 65.5% 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

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The Progressive Corporation, an insurance holding company, provides personal and commercial auto, personal residential and commercial property, general liability, and other specialty property-casualty insurance products and related services in the United States.

Dividend Criteria

  • Earnings Coverage

  • Growing Dividend

  • Future Dividend Coverage

  • Notable Dividend

  • High Dividend: PGR's dividend (1.67%) is low compared to the top 25% of dividend payers in the US market (4.25%).

  • Stable Dividend

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Rewards

  • Trading at 21.5% below our estimate of its fair value

  • Earnings are forecast to grow 38.84% per year

Risks

  • Profit margins (4.5%) are lower than last year (14.4%)

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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 (5.04%) is in the top 25% of dividend payers in the US market (4.25%)

  • Notable Dividend

  • Future Dividend Coverage

  • Earnings Coverage

See Full Stock Report

Rewards

  • Trading at 47.6% 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%)

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The Shyft Group, Inc. manufactures and assembles specialty vehicles for the commercial vehicle and recreational vehicle industries in the United States and internationally.

Dividend Criteria

  • Stable Dividend

  • Earnings Coverage

  • Growing Dividend

  • Notable Dividend

  • High Dividend: SHYF's dividend (1.07%) is low compared to the top 25% of dividend payers in the US market (4.25%).

  • Future Dividend Coverage

See Full Stock Report

Rewards

  • Trading at 23% below our estimate of its fair value

  • Earnings are forecast to grow 59.24% per year

  • Earnings grew by 41.4% over the past year

Risks

No risks detected for SHYF from our risks checks.

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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 (2.76%) is low compared to the top 25% of dividend payers in the US market (4.25%).

  • Future Dividend Coverage

See Full Stock Report

Rewards

  • Earnings are forecast to grow 64.85% per year

  • Became profitable this year

Risks

  • High level of non-cash earnings

View all Risks and Rewards
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