Stock Analysis

3 Reliable Dividend Stocks Offering At Least 4% Yield

TSE:6794
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As global markets navigate a landscape marked by declining major stock indexes and expectations for further interest rate cuts, investors are seeking stability amidst economic uncertainties. With the Nasdaq reaching record highs while other indices falter, dividend stocks offering yields of at least 4% present an attractive option for those looking to balance risk and income in their portfolios.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Tsubakimoto Chain (TSE:6371)4.25%★★★★★★
Wuliangye YibinLtd (SZSE:000858)3.25%★★★★★★
CAC Holdings (TSE:4725)4.76%★★★★★★
Yamato Kogyo (TSE:5444)4.10%★★★★★★
Guangxi LiuYao Group (SHSE:603368)3.25%★★★★★★
Padma Oil (DSE:PADMAOIL)7.44%★★★★★★
Nihon Parkerizing (TSE:4095)3.93%★★★★★★
China South Publishing & Media Group (SHSE:601098)3.80%★★★★★★
FALCO HOLDINGS (TSE:4671)6.63%★★★★★★
HUAYU Automotive Systems (SHSE:600741)4.21%★★★★★★

Click here to see the full list of 1972 stocks from our Top Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

KT (KOSE:A030200)

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

Overview: KT Corporation offers integrated telecommunications and platform services both in Korea and internationally, with a market cap of ₩11.05 trillion.

Operations: KT Corporation's revenue segments consist of ICT services generating ₩18.93 trillion, Finance contributing ₩3.60 trillion, Real Estate at ₩540.28 million, and Satellite Broadcasting bringing in ₩705.65 million.

Dividend Yield: 4.4%

KT's dividend payments are backed by a 73% payout ratio and a low 26.4% cash payout ratio, indicating strong coverage. However, dividends have been volatile over the past decade, affecting reliability despite recent growth. The company's dividend yield is among the top in Korea's market. Recent earnings show improved net income, and KT's strategic partnership with Microsoft could bolster future revenue streams, potentially supporting more stable dividends going forward.

KOSE:A030200 Dividend History as at Dec 2024
KOSE:A030200 Dividend History as at Dec 2024

ValueCommerce (TSE:2491)

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

Overview: ValueCommerce Co., Ltd. offers marketing solutions both in Japan and internationally, with a market cap of ¥25.80 billion.

Operations: ValueCommerce Co., Ltd. generates revenue through its EC Solutions segment, which accounts for ¥17.76 billion, and its Marketing Solutions segment, contributing ¥12.12 billion.

Dividend Yield: 4.5%

ValueCommerce's dividends are well-covered by earnings with a 51.7% payout ratio and a low cash payout ratio of 33.3%, ensuring sustainability. Despite offering a competitive dividend yield in Japan, its dividend history is marred by volatility over the past decade, impacting reliability. The stock trades significantly below its estimated fair value, presenting potential for capital appreciation alongside income generation from dividends. Earnings growth forecasts further support the prospect of future dividend stability.

TSE:2491 Dividend History as at Dec 2024
TSE:2491 Dividend History as at Dec 2024

Foster Electric Company (TSE:6794)

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

Overview: Foster Electric Company, Limited produces and sells loudspeakers, audio equipment, and electronic equipment in Japan and internationally, with a market cap of ¥33.20 billion.

Operations: Foster Electric Company's revenue primarily comes from its Speaker Business, generating ¥106.08 billion, and its Mobile Audio Business, contributing ¥13.50 billion.

Dividend Yield: 4%

Foster Electric Company offers a competitive dividend yield in Japan, supported by a low payout ratio of 21.9% and reasonable cash flow coverage at 70.1%. However, its dividend history is marked by volatility over the past decade, impacting reliability. Recent guidance indicates significant earnings growth with dividends doubling year-on-year to JPY 30 per share for fiscal 2025. Despite high share price volatility, it trades below estimated fair value, suggesting potential for capital appreciation alongside dividends.

TSE:6794 Dividend History as at Dec 2024
TSE:6794 Dividend History as at Dec 2024

Where To Now?

  • Delve into our full catalog of 1972 Top Dividend Stocks here.
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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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