3 UK Dividend Stocks Yielding At Least 3.3% For Your Portfolio

The United Kingdom's FTSE 100 index recently experienced a downturn, influenced by weak trade data from China that highlighted ongoing challenges in the global economic recovery. In such fluctuating market conditions, dividend stocks offering yields of at least 3.3% can provide investors with a measure of stability and income, making them an attractive consideration for portfolios focused on steady returns amidst uncertainty.

Top 10 Dividend Stocks In The United Kingdom

Name	Dividend Yield	Dividend Rating
Keller Group (LSE:KLR)	3.55%	★★★★★☆
Dunelm Group (LSE:DNLM)	7.96%	★★★★★☆
OSB Group (LSE:OSB)	7.95%	★★★★★☆
Man Group (LSE:EMG)	5.88%	★★★★★☆
Pets at Home Group (LSE:PETS)	5.69%	★★★★★☆
DCC (LSE:DCC)	3.77%	★★★★★☆
Big Yellow Group (LSE:BYG)	4.68%	★★★★★☆
Grafton Group (LSE:GFTU)	4.01%	★★★★★☆
James Latham (AIM:LTHM)	6.93%	★★★★★☆
RS Group (LSE:RS1)	3.51%	★★★★★☆

Click here to see the full list of 59 stocks from our Top UK Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

Associated British Foods (LSE:ABF)

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

Overview: Associated British Foods plc is a diversified company engaged in food production, ingredients, and retail operations globally, with a market cap of £13.34 billion.

Operations: Associated British Foods plc generates revenue through its diverse segments, including £2.53 billion from Sugar, £9.45 billion from Retail, £4.24 billion from Grocery, £1.65 billion from Agriculture, and £2.13 billion from Ingredients.

Dividend Yield: 4.8%

Associated British Foods offers a dividend yield of 4.83%, which is lower than the top 25% of UK dividend payers. Its dividends are well-covered by earnings and cash flows, with payout ratios of 32.5% and 38.5%, respectively, suggesting sustainability despite a volatile track record over the past decade. The stock trades at good value compared to peers and is 27.3% below its estimated fair value, though recent significant insider selling may warrant caution for investors seeking stability in dividend reliability.

• Unlock comprehensive insights into our analysis of Associated British Foods stock in this dividend report.
• The valuation report we've compiled suggests that Associated British Foods' current price could be quite moderate.

Macfarlane Group (LSE:MACF)

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

Overview: Macfarlane Group PLC, with a market cap of £169.62 million, designs, manufactures, and distributes protective packaging products to businesses in the United Kingdom and Europe through its subsidiaries.

Operations: Macfarlane Group PLC generates revenue through its Packaging Distribution segment, which accounts for £231.89 million, and its Manufacturing Operations segment, contributing £42.06 million.

Dividend Yield: 3.4%

Macfarlane Group's dividend payments have grown over the past decade, supported by a low payout ratio of 39% and a cash payout ratio of 22.8%, indicating strong coverage by both earnings and cash flows. However, its dividend yield of 3.37% is below the top UK payers, and the track record has been unstable with volatility in payments. The stock trades at an attractive value, being 29% below estimated fair value, with potential for price appreciation according to analysts.

• Get an in-depth perspective on Macfarlane Group's performance by reading our dividend report here.
• In light of our recent valuation report, it seems possible that Macfarlane Group is trading behind its estimated value.

Vesuvius (LSE:VSVS)

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

Overview: Vesuvius plc offers molten metal flow engineering and technology services to the steel and foundry casting industries globally, with a market cap of approximately £1.03 billion.

Operations: Vesuvius plc generates its revenue from several segments, including £496.80 million from Foundry, £784.90 million from Steel - Flow Control, £40.70 million from Steel - Sensors & Probes, and £548.60 million from Steel - Advanced Refractories.

Dividend Yield: 5.8%

Vesuvius has shown a volatile dividend history over the past decade, with payments increasing but remaining unreliable. Despite this, dividends are well-covered by earnings and cash flows, with payout ratios of 59.8% and 56.9%, respectively. The stock trades at a significant discount to its estimated fair value and offers a dividend yield of 5.78%, slightly below top UK payers. Recent strategic moves include share buybacks worth £50 million and plans for bolt-on acquisitions in North America.

• Delve into the full analysis dividend report here for a deeper understanding of Vesuvius.
• According our valuation report, there's an indication that Vesuvius' share price might be on the cheaper side.

Where To Now?

• Gain an insight into the universe of 59 Top UK Dividend Stocks by clicking here.
• Are any of these part of your asset mix? Tap into the analytical power of Simply Wall St's portfolio to get a 360-degree view on how they're shaping up.
• Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.

Looking For Alternative Opportunities?

• 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.

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