Stock Analysis

3 Reliable Dividend Stocks Yielding Up To 5.9%

Published

In the wake of recent global market developments, U.S. stocks have rallied to record highs, fueled by optimism around potential growth and tax reforms following a significant political shift. As investors navigate this evolving landscape with an eye on economic policies and interest rate changes, dividend stocks offer a compelling option for those seeking stable income streams amidst market volatility. A good dividend stock is typically characterized by consistent payouts and robust financial health, making it an attractive choice in times of economic uncertainty.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Peoples Bancorp (NasdaqGS:PEBO)4.51%★★★★★★
Globeride (TSE:7990)4.18%★★★★★★
Padma Oil (DSE:PADMAOIL)6.69%★★★★★★
Financial Institutions (NasdaqGS:FISI)4.44%★★★★★★
E J Holdings (TSE:2153)3.83%★★★★★★
James Latham (AIM:LTHM)6.13%★★★★★★
Premier Financial (NasdaqGS:PFC)4.39%★★★★★★
Citizens & Northern (NasdaqCM:CZNC)5.49%★★★★★★
DoshishaLtd (TSE:7483)3.84%★★★★★★
Banque Cantonale Vaudoise (SWX:BCVN)4.91%★★★★★★

Click here to see the full list of 1955 stocks from our Top Dividend Stocks screener.

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

Mersen (ENXTPA:MRN)

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

Overview: Mersen S.A. is a company that manufactures and sells electrical power products and advanced materials across various regions including France, North America, Europe, and the Asia-Pacific, with a market cap of approximately €499.37 million.

Operations: Mersen S.A.'s revenue is derived from two main segments: Electrical Power, which generates €545.50 million, and Advanced Materials, contributing €681.70 million.

Dividend Yield: 5.9%

Mersen offers a high dividend yield of 5.91%, placing it in the top 25% of French dividend payers. However, its dividends have been unreliable and volatile over the past decade, with coverage issues due to insufficient free cash flows despite a low payout ratio of 39.5%. While earnings have grown modestly by 0.1% and are forecasted for further growth, investors should be cautious about sustainability given these factors.

ENXTPA:MRN Dividend History as at Nov 2024

Oversea-Chinese Banking (SGX:O39)

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

Overview: Oversea-Chinese Banking Corporation Limited, along with its subsidiaries, provides financial services across Singapore, Malaysia, Indonesia, Greater China, the rest of the Asia Pacific region and internationally; it has a market cap of SGD73.96 billion.

Operations: Oversea-Chinese Banking Corporation Limited generates its revenue from various financial services across multiple regions, including Singapore, Malaysia, Indonesia, Greater China, and the broader Asia Pacific area.

Dividend Yield: 5.4%

Oversea-Chinese Banking Corporation's dividend yield of 5.35% is below the top quartile in Singapore, and while its payout ratio of 51.4% suggests dividends are currently covered by earnings, past volatility raises concerns about reliability. Recent earnings show growth with net income rising to S$1.97 billion for Q3 2024 from S$1.81 billion a year ago, indicating potential stability improvements. Strategic expansions into property investments and partnerships may support future dividend sustainability.

SGX:O39 Dividend History as at Nov 2024

Roland (TSE:7944)

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

Overview: Roland Corporation develops, manufactures, and sells electronic musical instruments, equipment, and software both in Japan and internationally with a market cap of ¥107.97 billion.

Operations: Roland Corporation's revenue primarily comes from its electronic musical instruments segment, which generated ¥100.65 billion.

Dividend Yield: 4.4%

Roland Corporation's dividend yield of 4.35% ranks in the top 25% of Japanese market payers, yet its dividends have been volatile over the past decade. The payout ratio of 70.1% indicates dividends are covered by earnings, though recent guidance revisions highlight challenges with lower-than-expected demand impacting profits. While trading below fair value estimates, Roland's strategic cost management and new product launches aim to stabilize earnings and support future dividend reliability amidst market adjustments.

TSE:7944 Dividend History as at Nov 2024

Make It Happen

Interested In Other Possibilities?

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.

New: AI Stock Screener & Alerts

Our new AI Stock Screener scans the market every day to uncover opportunities.

• Dividend Powerhouses (3%+ Yield)
• Undervalued Small Caps with Insider Buying
• High growth Tech and AI Companies

Or build your own from over 50 metrics.

Explore Now for Free

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com