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. If you’re a long term investor, these high-dividend industrials stocks can boost your monthly portfolio income.
Chicago Rivet & Machine Co. (AMEX:CVR)
CVR has a wholesome dividend yield of 3.80% and has a payout ratio of 43.87% . Although there has been some volatility in the company’s dividend yield, the DPS over a 10 year period has increased from $0.72 to $1.15. When we compare Chicago Rivet & Machine’s PE ratio with its industry, the company appears favorable. The US Machinery industry’s average ratio of 23.9 is above that of Chicago Rivet & Machine’s (16.6).
Burnham Holdings, Inc. (OTCPK:BURC.A)
BURC.A has a juicy dividend yield of 5.97% and pays out 98.90% of its profit as dividends . Over the past 10 years, BURC.A has increased its dividends from $0.68 to $0.88. The company has been a reliable payer too, not missing a payment during this time. Comparing Burnham Holdings’s PE ratio against the US Building industry draws favorable results, with the company’s PE of 16.6 being below that of its industry (24.8).
Insteel Industries, Inc. (NASDAQ:IIIN)
IIIN has an alluring dividend yield of 4.04% and their current payout ratio is 10.12% . Despite some volatility in the yield, DPS has risen in the last 10 years from $0.12 to $1.12. Analysts are expecting an impressive triple digit earnings growth over the next three years.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.