Stock Analysis

3 Dividend Stocks To Consider With Up To 5.1% Yield

TSE:8473
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As global markets navigate through a period of heightened inflation and interest rate volatility, U.S. stock indexes are climbing toward record highs, buoyed by strong performance in growth stocks and easing tariff concerns. In this dynamic environment, dividend stocks can offer a blend of income and potential stability, making them an attractive consideration for investors seeking to balance growth with steady returns amidst economic fluctuations.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Guaranty Trust Holding (NGSE:GTCO)5.89%★★★★★★
Chongqing Rural Commercial Bank (SEHK:3618)8.24%★★★★★★
Padma Oil (DSE:PADMAOIL)7.54%★★★★★★
Peoples Bancorp (NasdaqGS:PEBO)4.90%★★★★★★
Tsubakimoto Chain (TSE:6371)4.33%★★★★★★
CAC Holdings (TSE:4725)3.95%★★★★★★
Nihon Parkerizing (TSE:4095)3.88%★★★★★★
Citizens & Northern (NasdaqCM:CZNC)5.23%★★★★★★
Southside Bancshares (NYSE:SBSI)4.60%★★★★★★
GakkyushaLtd (TSE:9769)4.40%★★★★★★

Click here to see the full list of 1987 stocks from our Top Dividend Stocks screener.

Let's explore several standout options from the results in the screener.

BioGaia (OM:BIOG B)

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

Overview: BioGaia AB (publ) is a healthcare company that offers probiotic products globally, with a market capitalization of SEK13.16 billion.

Operations: BioGaia AB (publ) generates revenue primarily from its Pediatrics segment, which accounts for SEK1.09 billion, and the Adult Health segment, contributing SEK321.29 million.

Dividend Yield: 5.2%

BioGaia's dividend yield of 5.18% is among the top 25% in Sweden, yet its sustainability is questionable due to a high cash payout ratio of 194.4%, indicating dividends are not well covered by free cash flows. Despite a reasonable earnings payout ratio of 56.1%, dividend stability remains an issue with past volatility and unreliability over ten years. Recent earnings growth and proposed extra dividends highlight potential for income, but caution is warranted regarding long-term consistency.

OM:BIOG B Dividend History as at Feb 2025
OM:BIOG B Dividend History as at Feb 2025

SBI Holdings (TSE:8473)

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

Overview: SBI Holdings, Inc. operates in the online securities and investment sectors in Japan and Saudi Arabia, with a market cap of ¥1.36 trillion.

Operations: SBI Holdings, Inc. generates revenue through several key segments: the Finance Service Segment at ¥1.12 trillion, the Investment Segment at ¥130.38 million, the Crypto Asset Business at ¥89.11 million, the Next Generation Business at ¥26.86 million, and the Asset Management Business at ¥33.31 million.

Dividend Yield: 3.3%

SBI Holdings' dividend yield of 3.35% is below Japan's top 25% dividend payers, but its sustainability is supported by a low cash payout ratio of 2.6% and an earnings payout ratio of 34.6%, indicating strong coverage from both earnings and cash flows. Despite past volatility in dividend payments, recent strategic alliances in gaming and energy sectors could enhance growth prospects, while fixed-income offerings totaling ¥70 billion may bolster financial stability for consistent future payouts.

TSE:8473 Dividend History as at Feb 2025
TSE:8473 Dividend History as at Feb 2025

Akatsuki (TSE:8737)

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

Overview: Akatsuki Corp., along with its subsidiaries, operates in the real estate and securities sectors in Japan, with a market capitalization of ¥15.22 billion.

Operations: Akatsuki Corp. generates revenue through its operations in the real estate and securities sectors within Japan.

Dividend Yield: 4.5%

Akatsuki's dividend yield of 4.47% ranks among the top 25% in Japan, yet its sustainability is questionable due to a lack of free cash flow coverage and past volatility. While dividends have grown over the last decade, they remain unreliable and are not supported by cash flows despite a low payout ratio of 15.6%. The recent ¥1 billion fixed-income offering could provide some financial stability for future payouts amidst these challenges.

TSE:8737 Dividend History as at Feb 2025
TSE:8737 Dividend History as at Feb 2025

Key Takeaways

  • Gain an insight into the universe of 1987 Top Dividend Stocks 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.
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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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