3 Dividend Stocks To Consider With Up To 5.4% Yield

As global markets navigate uncertainties like tariff tensions and mixed economic signals, investors are increasingly looking for stability and income in their portfolios. Dividend stocks, known for providing regular income through payouts, can be appealing in such an environment as they offer the potential for steady returns amidst market fluctuations.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Tsubakimoto Chain (TSE:6371)	4.21%	★★★★★★
Guaranty Trust Holding (NGSE:GTCO)	5.87%	★★★★★★
Padma Oil (DSE:PADMAOIL)	7.54%	★★★★★★
CAC Holdings (TSE:4725)	4.49%	★★★★★★
Daito Trust ConstructionLtd (TSE:1878)	4.03%	★★★★★★
GakkyushaLtd (TSE:9769)	4.30%	★★★★★★
Nihon Parkerizing (TSE:4095)	3.98%	★★★★★★
DoshishaLtd (TSE:7483)	3.87%	★★★★★★
FALCO HOLDINGS (TSE:4671)	6.47%	★★★★★★
Yamato Kogyo (TSE:5444)	3.85%	★★★★★★

Click here to see the full list of 1962 stocks from our Top Dividend Stocks screener.

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

China Communications Services (SEHK:552)

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

Overview: China Communications Services Corporation Limited offers telecommunications support services globally and has a market cap of HK$31.65 billion.

Operations: China Communications Services Corporation Limited generates revenue primarily from its Provision of Integrated Comprehensive Solutions segment, amounting to CN¥149.86 billion.

Dividend Yield: 5%

China Communications Services offers dividend payments well-covered by both earnings and cash flows, with payout ratios of 41% and 49.5%, respectively. Despite trading significantly below its estimated fair value, the company's dividend yield of 5.02% is lower than top-tier payers in Hong Kong. The dividends have been volatile over the past decade, indicating an unreliable track record despite recent growth in payments and earnings forecasts suggesting moderate future growth at 6.2% annually.

• Dive into the specifics of China Communications Services here with our thorough dividend report.
• Upon reviewing our latest valuation report, China Communications Services' share price might be too pessimistic.

Tanabe Engineering (TSE:1828)

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

Overview: Tanabe Engineering Corporation operates in Japan, focusing on plant construction and machinery production, with a market cap of ¥20.15 billion.

Operations: Tanabe Engineering Corporation's revenue segments include plant construction and machinery production activities in Japan.

Dividend Yield: 3.6%

Tanabe Engineering's dividends are well-supported by earnings, with a low payout ratio of 18.5%, and cash flows, maintaining a cash payout ratio of 40.1%. The company has consistently increased its dividend over the past decade, recently announcing an increase from ¥50 to ¥75 per share for the fiscal year ending March 31, 2025. Despite trading below estimated fair value, its dividend yield of 3.64% remains slightly below Japan's top-tier payers.

• Click to explore a detailed breakdown of our findings in Tanabe Engineering's dividend report.
• Insights from our recent valuation report point to the potential undervaluation of Tanabe Engineering shares in the market.

Cosel (TSE:6905)

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

Overview: Cosel Co., Ltd. manufactures and sells electrical components and EMI filters in Japan and internationally, with a market cap of approximately ¥42.12 billion.

Operations: Cosel Co., Ltd. generates revenue through several segments, including the Japan Production and Sales Business at ¥26.73 billion, Europe Production and Sales Business at ¥6.73 billion, Asian Sales Business at ¥2.89 billion, China Production Business at ¥2.51 billion, and North American Sales Business at ¥2.53 billion.

Dividend Yield: 5.5%

Cosel's dividend yield of 5.48% ranks in the top 25% among Japanese dividend payers, but its dividends have been volatile and not well-covered by earnings, with a high payout ratio of 102%. Recent guidance indicates lower sales and profits due to geopolitical risks and economic challenges in China. Despite these hurdles, Cosel maintains a stable annual dividend forecast of ¥55 per share for fiscal year ending May 2025.

• Click here and access our complete dividend analysis report to understand the dynamics of Cosel.
• The valuation report we've compiled suggests that Cosel's current price could be inflated.

Taking Advantage

• Unlock our comprehensive list of 1962 Top Dividend Stocks by clicking here.
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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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