Top Dividend Stocks To Consider For Your Portfolio

In the current global market landscape, uncertainty surrounding the incoming U.S. administration's policies has led to fluctuations in stock sectors, with financials and energy benefiting from deregulation hopes while healthcare faces challenges. Amidst these dynamics, dividend stocks can offer a stable income stream and potential for growth, making them an attractive consideration for investors seeking resilience in their portfolios during volatile times.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Tsubakimoto Chain (TSE:6371)	4.19%	★★★★★★
Nihon Parkerizing (TSE:4095)	3.96%	★★★★★★
Wuliangye YibinLtd (SZSE:000858)	3.22%	★★★★★★
CAC Holdings (TSE:4725)	4.60%	★★★★★★
Guangxi LiuYao Group (SHSE:603368)	3.28%	★★★★★★
Padma Oil (DSE:PADMAOIL)	6.72%	★★★★★★
GakkyushaLtd (TSE:9769)	4.48%	★★★★★★
HUAYU Automotive Systems (SHSE:600741)	4.60%	★★★★★★
James Latham (AIM:LTHM)	6.06%	★★★★★★
DoshishaLtd (TSE:7483)	3.79%	★★★★★★

Click here to see the full list of 1965 stocks from our Top Dividend Stocks screener.

Here's a peek at a few of the choices from the screener.

Soken Chemical & Engineering (TSE:4972)

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

Overview: Soken Chemical & Engineering Co., Ltd. is engaged in the manufacturing and sale of acrylic pressure-sensitive adhesives, functional polymers, organic fine particles, and adhesive tapes across Japan, China, and international markets with a market cap of ¥25.53 billion.

Operations: Soken Chemical & Engineering Co., Ltd.'s revenue is primarily derived from its Chemicals segment, which accounts for ¥42.76 billion, and its Equipment System segment, contributing ¥3.73 billion.

Dividend Yield: 3%

Soken Chemical & Engineering's dividend payments are well-covered by earnings and cash flows, with low payout ratios of 19.4% and 19.6%, respectively, suggesting sustainability. However, the dividends have been volatile over the past decade, indicating unreliability despite recent growth in earnings by 134.6%. Trading at a significant discount to its estimated fair value and added to the S&P Global BMI Index recently, it offers potential value but has a relatively low dividend yield of 3.03%.

• Click here and access our complete dividend analysis report to understand the dynamics of Soken Chemical & Engineering.
• Our valuation report here indicates Soken Chemical & Engineering may be undervalued.

Nippon Denko (TSE:5563)

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

Overview: Nippon Denko Co., Ltd. and its subsidiaries manufacture and sell ferroalloys, functional materials, and environmental recycling systems in Japan, with a market cap of ¥40.09 billion.

Operations: Nippon Denko Co., Ltd.'s revenue is primarily derived from its Ferroalloy Business at ¥49.47 billion, followed by the Functional Materials Business at ¥13.90 billion, and the Electric Power Business contributing ¥1.54 billion.

Dividend Yield: 3.4%

Nippon Denko's dividend payments are well-covered by earnings and cash flows, with payout ratios of 26.6% and 22.1%, respectively, indicating sustainability despite a volatile track record over the past decade. Although trading at a significant discount to its estimated fair value, its dividend yield of 3.4% falls short compared to top-tier JP market payers. Recent corporate guidance projects net sales of ¥79.8 billion and profit attributable to owners at ¥3.4 billion for 2024, supporting potential stability in payouts moving forward.

• Take a closer look at Nippon Denko's potential here in our dividend report.
• The analysis detailed in our Nippon Denko valuation report hints at an deflated share price compared to its estimated value.

Aerospace Industrial Development (TWSE:2634)

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

Overview: Aerospace Industrial Development Corporation is involved in the development, manufacturing, integration, assembly, and testing of aircraft systems and parts both in Taiwan and internationally, with a market cap of NT$41.02 billion.

Operations: Aerospace Industrial Development Corporation generates revenue primarily from its Aerospace & Defense segment, amounting to NT$37.66 billion.

Dividend Yield: 3.2%

Aerospace Industrial Development's dividends are covered by earnings and cash flows, with payout ratios of 70.8% and 42%, respectively, though they have been volatile over the past decade. The dividend yield of 3.16% is lower than top-tier TW market payers. Recent Q3 results showed declining sales (TWD 8.64 billion) and net income (TWD 245.29 million), indicating potential challenges for sustaining dividends amidst financial pressures from high debt levels.

• Get an in-depth perspective on Aerospace Industrial Development's performance by reading our dividend report here.
• Our comprehensive valuation report raises the possibility that Aerospace Industrial Development is priced higher than what may be justified by its financials.

Make It Happen

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Contemplating Other Strategies?

• 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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