3 Reliable Dividend Stocks Yielding Up To 5.9%

As global markets react to recent political shifts and economic policies, major indices like the S&P 500 and Nasdaq Composite have reached record highs, driven by investor optimism around potential tax cuts and regulatory changes. Amidst this backdrop of market enthusiasm, dividend stocks continue to attract attention for their ability to provide steady income streams; a key consideration for investors seeking stability in times of economic uncertainty.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Peoples Bancorp (NasdaqGS:PEBO)	4.63%	★★★★★★
Tsubakimoto Chain (TSE:6371)	4.19%	★★★★★★
Globeride (TSE:7990)	4.12%	★★★★★★
Guangxi LiuYao Group (SHSE:603368)	3.21%	★★★★★★
Financial Institutions (NasdaqGS:FISI)	4.45%	★★★★★★
China South Publishing & Media Group (SHSE:601098)	4.42%	★★★★★★
CAC Holdings (TSE:4725)	4.52%	★★★★★★
E J Holdings (TSE:2153)	3.81%	★★★★★★
Citizens & Northern (NasdaqCM:CZNC)	5.43%	★★★★★★
Premier Financial (NasdaqGS:PFC)	4.47%	★★★★★★

Click here to see the full list of 1947 stocks from our Top Dividend Stocks screener.

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

Veidekke (OB:VEI)

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

Overview: Veidekke ASA is a construction and property development company operating in Norway, Sweden, and Denmark with a market cap of NOK17.48 billion.

Operations: Veidekke ASA generates revenue primarily through its construction and property development activities across Norway, Sweden, and Denmark.

Dividend Yield: 5.9%

Veidekke ASA's dividend payments are well supported by earnings and cash flows, with a payout ratio of 79.9% and a cash payout ratio of 49%. Despite this coverage, the company's dividend track record is unstable, exhibiting volatility over the past decade. Recent earnings growth is promising; net income for Q3 2024 increased to NOK 465 million from NOK 441 million year-on-year. However, its dividend yield of 5.95% falls short compared to top-tier Norwegian dividend payers.

• Delve into the full analysis dividend report here for a deeper understanding of Veidekke.
• Our comprehensive valuation report raises the possibility that Veidekke is priced lower than what may be justified by its financials.

Okada Aiyon (TSE:6294)

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

Overview: Okada Aiyon Corporation manufactures, sells, and repairs construction machines primarily in Japan, with a market cap of ¥17.32 billion.

Operations: Okada Aiyon Corporation generates its revenue through the manufacture, sale, and repair of construction machines.

Dividend Yield: 3.4%

Okada Aiyon's dividend yield of 3.43% is below the top quartile in Japan, yet its dividends are well-covered by earnings and cash flows with payout ratios of 31.1% and 48.7%, respectively. The company has a stable and reliable dividend history over the past decade, recently increasing its annual dividend to ¥74 per share from ¥70. Its price-to-earnings ratio of 9.6x suggests good value compared to the broader market average of 13.5x.

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

Sompo Holdings (TSE:8630)

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

Overview: Sompo Holdings, Inc. is a company that offers property and casualty insurance services both in Japan and internationally, with a market cap of ¥3.37 trillion.

Operations: Sompo Holdings, Inc. generates revenue through its property and casualty insurance services offered in both domestic and international markets.

Dividend Yield: 3.2%

Sompo Holdings offers a stable dividend history with reliable payments over the past decade, supported by a sustainable payout ratio of 68% and a cash payout ratio of 24.6%. Although its yield of 3.22% is below the top quartile in Japan, dividends have grown consistently. Trading at significant value below fair estimates, Sompo's recent buyback activity underscores financial strength, repurchasing shares worth ¥76.99 billion this year.

• Click to explore a detailed breakdown of our findings in Sompo Holdings' dividend report.
• Our valuation report here indicates Sompo Holdings may be undervalued.

Seize The Opportunity

• Click this link to deep-dive into the 1947 companies within our Top Dividend Stocks screener.
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Want To Explore Some Alternatives?

• 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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