Amidst the recent downturn in the FTSE 100, influenced by weak trade data from China and its ongoing economic challenges, investors are keeping a close eye on dividend stocks as a potential source of steady income. In such uncertain times, selecting dividend stocks with strong fundamentals and resilient business models can offer stability and regular returns, making them an attractive option for those looking to navigate the current market volatility.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| WPP (LSE:WPP) | 6.66% | ★★★★★★ |
| Man Group (LSE:EMG) | 7.47% | ★★★★★☆ |
| 4imprint Group (LSE:FOUR) | 5.18% | ★★★★★☆ |
| Keller Group (LSE:KLR) | 3.16% | ★★★★★☆ |
| Dunelm Group (LSE:DNLM) | 6.67% | ★★★★★☆ |
| Treatt (LSE:TET) | 3.00% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.97% | ★★★★★☆ |
| James Latham (AIM:LTHM) | 7.31% | ★★★★★☆ |
| OSB Group (LSE:OSB) | 6.97% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.71% | ★★★★★☆ |
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.
Irish Continental Group (LSE:ICGC)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Irish Continental Group plc is a maritime transport company serving Ireland, the United Kingdom, and Continental Europe, with a market cap of £709.03 million.
Operations: Irish Continental Group's revenue is primarily derived from its Ferries segment, which generated €433.50 million, and its Container and Terminal segment, which contributed €203.50 million.
Dividend Yield: 3%
Irish Continental Group's dividend payments have been volatile over the past decade, yet they have shown growth. The company is trading at 46.8% below its estimated fair value, suggesting potential undervaluation. With a payout ratio of 42.8%, dividends are well covered by earnings and cash flows (25%). Despite a lower yield compared to top UK dividend payers, recent proposals include a final dividend of €17.2 million for 2024, highlighting ongoing commitment to shareholder returns.
- Click here and access our complete dividend analysis report to understand the dynamics of Irish Continental Group.
- Our expertly prepared valuation report Irish Continental Group implies its share price may be too high.
Kainos Group (LSE:KNOS)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Kainos Group plc provides digital technology services across the United Kingdom, Ireland, North America, Central Europe, and internationally with a market capitalization of approximately £885.32 million.
Operations: Kainos Group plc generates revenue from three main segments: Digital Services (£199.17 million), Workday Products (£68.08 million), and Workday Services (£102.51 million).
Dividend Yield: 3.9%
Kainos Group's dividend payments have been volatile and unreliable over the past decade, with a current payout ratio of 81.2% covered by earnings and a cash payout ratio of 61.5%. The company trades at 22.4% below its estimated fair value, indicating potential undervaluation. Despite a lower yield compared to top UK dividend payers, the board has proposed a final dividend of £23.6 million for 2025, reflecting ongoing shareholder return efforts amidst recent share buyback activities totaling £30 million.
- Delve into the full analysis dividend report here for a deeper understanding of Kainos Group.
- In light of our recent valuation report, it seems possible that Kainos Group is trading behind its estimated value.
Pollen Street Group (LSE:POLN)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Pollen Street Group, founded in 2015 and headquartered in London, operates as a financial services company with a market cap of approximately £471.65 million.
Operations: Pollen Street Group generates revenue through its Asset Manager segment, contributing £66.80 million, and its Investment Company segment, which accounts for £60.38 million.
Dividend Yield: 7.0%
Pollen Street Group's dividend is well-covered with a payout ratio of 68.1% and a cash payout ratio of 38.9%, suggesting sustainability despite its volatile nine-year track record. The recent interim dividend was set at 27.1 pence per share, with guidance for no less than 55 pence in 2025, indicating commitment to shareholder returns. Trading at a P/E ratio of 9.5x, below the UK market average, it presents good value relative to peers amidst ongoing M&A discussions with KKR & Co.
- Click to explore a detailed breakdown of our findings in Pollen Street Group's dividend report.
- The analysis detailed in our Pollen Street Group valuation report hints at an deflated share price compared to its estimated value.
Where To Now?
- Click through to start exploring the rest of the 56 Top UK Dividend Stocks now.
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Seeking Other Investments?
- 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.
Valuation is complex, but we're here to simplify it.
Discover if Irish Continental Group might be undervalued or overvalued with our detailed analysis, featuring fair value estimates, potential risks, dividends, insider trades, and its financial condition.
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