Top 3 UK Dividend Stocks For November 2024

As the FTSE 100 index experiences turbulence due to weak trade data from China, investors in the United Kingdom are increasingly focused on finding stability through dividend stocks. In such uncertain market conditions, companies with a strong track record of consistent dividend payouts can offer a measure of reliability and income potential for investors looking to navigate these choppy economic waters.

Top 10 Dividend Stocks In The United Kingdom

Name	Dividend Yield	Dividend Rating
James Latham (AIM:LTHM)	6.23%	★★★★★★
Impax Asset Management Group (AIM:IPX)	8.05%	★★★★★☆
OSB Group (LSE:OSB)	8.87%	★★★★★☆
Burberry Group (LSE:BRBY)	7.01%	★★★★★☆
Plus500 (LSE:PLUS)	6.37%	★★★★★☆
Man Group (LSE:EMG)	6.30%	★★★★★☆
Big Yellow Group (LSE:BYG)	3.80%	★★★★★☆
Dunelm Group (LSE:DNLM)	7.09%	★★★★★☆
DCC (LSE:DCC)	4.00%	★★★★★☆
Grafton Group (LSE:GFTU)	3.70%	★★★★★☆

Click here to see the full list of 58 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, ingredients, and retail operations globally, with a market cap of £16.89 billion.

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

Dividend Yield: 3.9%

Associated British Foods has announced a final dividend of 42.3 pence per share and a special dividend of 27.0 pence per share, both payable on January 10, 2025. Despite an unstable dividend track record over the past decade, the company's dividends are well covered by earnings and cash flows with payout ratios of 32.5% and 39.2%, respectively. Recent earnings growth supports these payments, though its yield remains below top UK payers at 3.92%.

• Click here to discover the nuances of Associated British Foods with our detailed analytical dividend report.
• Our expertly prepared valuation report Associated British Foods implies its share price may be lower than expected.

Morgan Advanced Materials (LSE:MGAM)

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

Overview: Morgan Advanced Materials plc is a materials science and application engineering company based in the United Kingdom with a market cap of approximately £717.10 million.

Operations: Morgan Advanced Materials plc generates its revenue from the Carbon & Technical Ceramics Division - Technical Ceramics segment, which accounts for £320.90 million.

Dividend Yield: 4.8%

Morgan Advanced Materials' dividend payments have been volatile over the past decade, with a payout ratio of 49.8% covered by earnings and 73.1% by cash flows. Its current yield of 4.8% is below the top UK dividend payers, but the stock trades at a favorable price-to-earnings ratio of 10.4x compared to the market average of 16.3x. Despite high debt levels, analysts expect a potential price increase and forecast earnings growth of 12.67% annually.

• Navigate through the intricacies of Morgan Advanced Materials with our comprehensive dividend report here.
• According our valuation report, there's an indication that Morgan Advanced Materials' share price might be on the cheaper side.

Pets at Home Group (LSE:PETS)

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

Overview: Pets at Home Group Plc operates as a specialist omnichannel retailer of pet food, pet-related products, and accessories in the United Kingdom with a market cap of £1.40 billion.

Operations: Pets at Home Group Plc generates revenue through its Retail segment, which accounts for £1.33 billion, and its Vet Group segment, contributing £146.50 million.

Dividend Yield: 4.2%

Pets at Home Group offers a stable dividend history with payments reliably growing over the past decade. Its dividends are well-supported by earnings, reflected in a payout ratio of 77.2%, and cash flows, with a cash payout ratio of 36.1%. Although its current yield of 4.17% is below the top UK dividend payers, the stock trades at an attractive valuation, being 48.4% below estimated fair value, while earnings are expected to grow significantly annually.

• Take a closer look at Pets at Home Group's potential here in our dividend report.
• The analysis detailed in our Pets at Home Group valuation report hints at an deflated share price compared to its estimated value.

Turning Ideas Into Actions

• Explore the 58 names from our Top UK Dividend Stocks screener here.
• Got skin in the game with these stocks? Elevate how you manage them by using Simply Wall St's portfolio, where intuitive tools await to help optimize your investment outcomes.
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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.

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