The fortunes of financial services companies often follow that of the broader economy. Firms in this sector offer services ranging from investment banking to consumer finance. During downturns, financial services companies tend to be hit the hardest as net interest margins shrink and credit losses grows. However, during prosperous times, they report robust profits and many pay attractive dividends. Here are my top dividend stocks in the financial industry that could be valuable additions to your current holdings.
APQ Global Limited (AIM:APQ)
APQ has an appealing dividend yield of 6.42% and the company has a payout ratio of 70.58% , with analysts expecting a 86.96% payout in the next three years. The company’s yield puts it among good company – the top 25% of the market. Analyst estimates for APQ Global’s future earnings are certainly promising, predicting a triple digit earnings growth over the next three years. Interested in APQ Global? Find out more here.
H&T Group plc (AIM:HAT)
HAT has a good dividend yield of 3.27% and the company currently pays out 33.79% of its profits as dividends , with analysts expecting a 34.48% payout in the next three years. Despite there being some hiccups, dividends per share have increased during the past 10 years. More on H&T Group here.
Park Group plc (AIM:PKG)
PKG has a good-sized dividend yield of 3.68% and the company has a payout ratio of 58.96% . PKG has increased its dividend from UK£0.012 to UK£0.029 over the past 10 years. They have been dependable too, not missing a single payment in this time. Dig deeper into Park Group here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.