3 ASX Dividend Stocks With Up To 6.5% Yield

The Australian stock market has been experiencing some turbulence, with inflation rates exceeding expectations and impacting the Reserve Bank of Australia's interest rate decisions. In this context, dividend stocks can offer a measure of stability and income, making them an attractive option for investors seeking reliable returns amidst market fluctuations.

Top 10 Dividend Stocks In Australia

Click here to see the full list of 28 stocks from our Top ASX Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

EQT Holdings (ASX:EQT)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: EQT Holdings Limited, with a market cap of A$670.18 million, operates in Australia offering philanthropic, trustee, and investment services through its subsidiaries.

Operations: EQT Holdings Limited generates revenue through its Corporate & Superannuation Trustee Services, amounting to A$79.99 million, and Trustee & Wealth Services (excluding Superannuation Trustee Services), contributing A$102.18 million.

Dividend Yield: 4.5%

EQT Holdings offers a reliable dividend yield of 4.48%, supported by a payout ratio of 86.7% and cash flow coverage at 78.4%. Despite facing regulatory scrutiny, the company has shown earnings growth of 19.7% over the past year, with stable dividends increasing over the last decade. However, its yield is below Australia's top dividend payers' average and its price-to-earnings ratio is competitive at 19.6x against the market's average of 21.5x.

• Delve into the full analysis dividend report here for a deeper understanding of EQT Holdings.
• Our valuation report here indicates EQT Holdings may be overvalued.

IVE Group (ASX:IGL)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: IVE Group Limited, along with its subsidiaries, operates in the marketing sector in Australia and has a market capitalization of A$424.18 million.

Operations: IVE Group Limited generates revenue primarily from its advertising segment, which amounts to A$959.25 million.

Dividend Yield: 6.5%

IVE Group's dividend yield of 6.52% ranks in the top 25% of Australian payers, supported by a payout ratio of 59.6% and a cash payout ratio of 34.9%. Despite its high debt level and volatile dividends over nine years, recent earnings growth has been significant at A$46.71 million from A$27.61 million last year. The company seeks strategic acquisitions, leveraging its strong balance sheet to enhance value further while trading below estimated fair value by 72.8%.

• Dive into the specifics of IVE Group here with our thorough dividend report.
• The valuation report we've compiled suggests that IVE Group's current price could be quite moderate.

MFF Capital Investments (ASX:MFF)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: MFF Capital Investments Limited is an investment firm manager with a market cap of A$2.82 billion.

Operations: MFF Capital Investments Limited generates revenue primarily through its equity investment segment, amounting to A$631.43 million.

Dividend Yield: 3.7%

MFF Capital Investments offers a stable dividend yield of 3.73%, though it falls short of the top 25% in Australia. The company's dividends are well-supported by earnings, with a payout ratio of 22.9%, and cash flows, reflected in a cash payout ratio of 31.3%. Recent earnings were A$431.97 million, slightly down from the previous year, yet dividends have consistently grown over the past decade. Trading significantly below its fair value estimate enhances its investment appeal despite recent executive changes.

• Click here to discover the nuances of MFF Capital Investments with our detailed analytical dividend report.
• Insights from our recent valuation report point to the potential undervaluation of MFF Capital Investments shares in the market.

Turning Ideas Into Actions

• Click this link to deep-dive into the 28 companies within our Top ASX Dividend Stocks screener.
• Are you invested in these stocks already? Keep abreast of every twist and turn by setting up a portfolio with Simply Wall St, where we make it simple for investors like you to stay informed and proactive.
• Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.

Searching for a Fresh Perspective?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com