Stock Analysis

January 2025's Leading Dividend Stocks To Consider

SZSE:002706
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As global markets navigate the complexities of a resilient U.S. labor market, inflation concerns, and political uncertainties, investors are increasingly seeking stability through dividend stocks. In this environment of choppy market conditions and fluctuating interest rates, selecting stocks with strong dividend yields can offer a reliable income stream while potentially mitigating volatility.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Peoples Bancorp (NasdaqGS:PEBO)5.12%★★★★★★
Tsubakimoto Chain (TSE:6371)4.33%★★★★★★
Guaranty Trust Holding (NGSE:GTCO)6.38%★★★★★★
CAC Holdings (TSE:4725)4.73%★★★★★★
Southside Bancshares (NYSE:SBSI)4.53%★★★★★★
Yamato Kogyo (TSE:5444)4.01%★★★★★★
Padma Oil (DSE:PADMAOIL)7.53%★★★★★★
Premier Financial (NasdaqGS:PFC)4.99%★★★★★★
Citizens & Northern (NasdaqCM:CZNC)5.96%★★★★★★
DoshishaLtd (TSE:7483)3.93%★★★★★★

Click here to see the full list of 1996 stocks from our Top Dividend Stocks screener.

Let's dive into some prime choices out of the screener.

Xiamen C&D (SHSE:600153)

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

Overview: Xiamen C&D Inc. operates in the supply chain and real estate development sectors both within China and internationally, with a market cap of CN¥29.03 billion.

Operations: Xiamen C&D Inc.'s revenue is primarily derived from its Supply Chain Operations Division (CN¥474.91 billion), Real Estate Business Segment (CN¥183.26 billion), and Home Furnishing Shopping Mall Operation Business Segment (CN¥8.94 billion).

Dividend Yield: 7.0%

Xiamen C&D offers a high dividend yield of 6.95%, placing it among the top 25% in the CN market, but its dividends are not covered by free cash flow and have been volatile over the past decade. Despite an attractive price-to-earnings ratio of 10.8x, recent earnings show a significant decline with net income dropping to ¥2.06 billion from ¥12.42 billion year-on-year, highlighting potential sustainability concerns for dividend investors.

SHSE:600153 Dividend History as at Jan 2025
SHSE:600153 Dividend History as at Jan 2025

Star Lake BioscienceZhaoqing Guangdong (SHSE:600866)

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

Overview: Star Lake Bioscience Co., Inc. Zhaoqing Guangdong manufactures and sells pharmaceutical raw materials, and food and feed additives under the Star Lake and Yue Bao brand names in China and internationally, with a market cap of CN¥10.09 billion.

Operations: Star Lake Bioscience Co., Inc. Zhaoqing Guangdong generates revenue through the production and distribution of pharmaceutical raw materials, as well as food and feed additives, both domestically and internationally.

Dividend Yield: 6.2%

Star Lake Bioscience's dividend yield of 6.24% ranks in the top 25% of CN market payers, supported by a low cash payout ratio of 38.3%, indicating strong coverage by cash flows. Despite being new to dividends, earnings grew significantly by 44.9% last year and are expected to continue growing at 18.73% annually, suggesting potential for future dividend stability and growth as profitability improves further with recent net income reaching ¥677 million for nine months ended September 2024.

SHSE:600866 Dividend History as at Jan 2025
SHSE:600866 Dividend History as at Jan 2025

Shanghai Liangxin ElectricalLTD (SZSE:002706)

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

Overview: Shanghai Liangxin Electrical Co., LTD. researches, develops, produces, and sells low-voltage electrical apparatus in China and internationally, with a market cap of CN¥7.64 billion.

Operations: Shanghai Liangxin Electrical Co., LTD. generates revenue through its activities in the research, development, production, and sale of low-voltage electrical apparatus both domestically and internationally.

Dividend Yield: 3.7%

Shanghai Liangxin Electrical's dividend yield of 3.67% is among the top 25% in the CN market, yet its cash payout ratio of 93.1% raises concerns about coverage by free cash flows. Although dividends have increased over the past decade, they have been volatile and not consistently reliable. The company trades at a good value relative to peers and industry, with recent earnings showing a decline in net income to ¥310.64 million for nine months ended September 2024.

SZSE:002706 Dividend History as at Jan 2025
SZSE:002706 Dividend History as at Jan 2025

Key Takeaways

  • Gain an insight into the universe of 1996 Top Dividend Stocks by clicking here.
  • Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.
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Curious About Other Options?

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.

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