3 Dividend Stocks To Consider With Yields Up To 4.2%

As global markets navigate uncertainties surrounding tariffs and mixed economic signals, investors are increasingly focused on strategies that offer stability and income potential. In such an environment, dividend stocks can be appealing due to their ability to provide regular income streams while potentially offering some cushion against market volatility.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Wuliangye YibinLtd (SZSE:000858)	4.03%	★★★★★★
Padma Oil (DSE:PADMAOIL)	7.55%	★★★★★★
Daito Trust ConstructionLtd (TSE:1878)	4.04%	★★★★★★
China South Publishing & Media Group (SHSE:601098)	3.99%	★★★★★★
Guangxi LiuYao Group (SHSE:603368)	3.41%	★★★★★★
HUAYU Automotive Systems (SHSE:600741)	4.25%	★★★★★★
Nihon Parkerizing (TSE:4095)	3.99%	★★★★★★
DoshishaLtd (TSE:7483)	3.89%	★★★★★★
FALCO HOLDINGS (TSE:4671)	6.50%	★★★★★★
Yamato Kogyo (TSE:5444)	3.66%	★★★★★☆

Click here to see the full list of 1960 stocks from our Top Dividend Stocks screener.

Let's take a closer look at a couple of our picks from the screened companies.

Nitto Kogyo (TSE:6651)

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

Overview: Nitto Kogyo Corporation manufactures and sells electric and mechanical equipment worldwide, with a market cap of ¥109.98 billion.

Operations: Nitto Kogyo Corporation generates revenue through its global operations in the manufacturing and sale of electric and mechanical equipment.

Dividend Yield: 4.2%

Nitto Kogyo offers a dividend yield of 4.24%, placing it in the top 25% of Japanese dividend payers. However, its dividends have been volatile over the past decade, with drops exceeding 20% annually at times. The current payout ratio is covered by earnings but not by free cash flows, raising sustainability concerns. Despite trading slightly below fair value and recent earnings growth of 33.6%, future earnings are expected to decline by 1.9% annually over three years.

• Take a closer look at Nitto Kogyo's potential here in our dividend report.
• The valuation report we've compiled suggests that Nitto Kogyo's current price could be quite moderate.

SuzukiLtd (TSE:6785)

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

Overview: Suzuki Co., Ltd. manufactures and sells connectors for car electronics parts in Japan, with a market cap of ¥24.85 billion.

Operations: Suzuki Co., Ltd. generates its revenue primarily through the manufacturing and sale of connectors for automotive electronic components in Japan.

Dividend Yield: 4.3%

Suzuki Ltd. offers a high dividend yield of 4.3%, ranking in the top 25% of Japanese dividend payers, with dividends reliably growing over the past decade. The payout is sustainable, covered by both earnings (24.1% payout ratio) and free cash flows (40.2% cash payout ratio). Trading at a significant discount to its estimated fair value, Suzuki's recent earnings growth of 60.6% further underscores its strong financial position for consistent dividend payments.

• Click here and access our complete dividend analysis report to understand the dynamics of SuzukiLtd.
• According our valuation report, there's an indication that SuzukiLtd's share price might be on the cheaper side.

Nac (TSE:9788)

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

Overview: Nac Co., Ltd. operates in Japan, focusing on the renting and sale of dust control and cleaning products and equipment, with a market cap of ¥26.47 billion.

Operations: Nac Co., Ltd. generates revenue through its operations in Japan, primarily from the renting and sale of dust control and cleaning products and equipment.

Dividend Yield: 3.4%

Nac Co., Ltd.'s dividends are covered by earnings (41% payout ratio) and cash flows (50.1% cash payout ratio), though they have been volatile over the past decade. Despite a low yield of 3.38%, recent share buybacks totaling ¥819.45 million aim to enhance capital efficiency, potentially benefiting shareholders indirectly through increased corporate value and future dividend stability. The stock trades at 24.1% below its estimated fair value, suggesting potential for appreciation alongside dividend improvements.

• Delve into the full analysis dividend report here for a deeper understanding of Nac.
• Our expertly prepared valuation report Nac implies its share price may be too high.

Taking Advantage

• Take a closer look at our Top Dividend Stocks list of 1960 companies by clicking 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.
• Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.

Ready To Venture Into Other Investment Styles?

• 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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