Top 3 Dividend Stocks To Consider For Your Portfolio

In the wake of recent market turmoil triggered by new tariffs, U.S. stock indexes have experienced significant declines, with the S&P 500 and Nasdaq Composite posting some of their worst performances in years. As investors navigate these volatile conditions, dividend stocks may offer a measure of stability and income potential due to their ability to provide regular payouts even amidst broader market fluctuations.

Top 10 Dividend Stocks In The United States

Click here to see the full list of 178 stocks from our Top US Dividend Stocks screener.

Here we highlight a subset of our preferred stocks from the screener.

Ituran Location and Control (NasdaqGS:ITRN)

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

Overview: Ituran Location and Control Ltd., along with its subsidiaries, offers location-based telematics services and machine-to-machine telematics products, with a market cap of $727.11 million.

Operations: Ituran Location and Control Ltd. generates revenue through its Telematics Products segment, contributing $93.77 million, and its Telematics Services segment, which brings in $242.49 million.

Dividend Yield: 5.7%

Ituran Location and Control has recently increased its dividend by 25%, with a quarterly payout now at US$10 million, reflecting strong profitability and cash flow. Despite past volatility in dividends, the current payout is well-covered by earnings and cash flows, with a 61.9% payout ratio. The stock offers a competitive dividend yield within the top 25% of U.S. market payers and trades below estimated fair value, suggesting potential investment appeal for income-focused investors.

• Navigate through the intricacies of Ituran Location and Control with our comprehensive dividend report here.
• Our comprehensive valuation report raises the possibility that Ituran Location and Control is priced lower than what may be justified by its financials.

Costamare (NYSE:CMRE)

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

Overview: Costamare Inc. is a global owner and operator of containerships and dry bulk vessels, with a market cap of approximately $1.24 billion.

Operations: Costamare Inc.'s revenue is primarily derived from its Container Vessels segment at $864.55 million and its Dry Bulk Vessels segment at $197.71 million, with additional income of $23.95 million from CBI activities.

Dividend Yield: 4.8%

Costamare's dividend sustainability is supported by a low payout ratio of 18.9%, indicating dividends are well covered by earnings and cash flows. Despite a high debt level, the stock trades at 66.4% below its estimated fair value, offering good relative value compared to peers. However, dividend payments have been volatile and unreliable over the past decade. Recent announcements affirm a quarterly dividend of US$0.115 per share for common stockholders, payable in May 2025.

• Get an in-depth perspective on Costamare's performance by reading our dividend report here.
• The valuation report we've compiled suggests that Costamare's current price could be quite moderate.

Douglas Dynamics (NYSE:PLOW)

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

Overview: Douglas Dynamics, Inc. is a North American manufacturer and upfitter of commercial work truck attachments and equipment, with a market cap of $545.59 million.

Operations: Douglas Dynamics generates revenue from two primary segments: Work Truck Solutions, which accounts for $312.49 million, and Work Truck Attachments, contributing $256.01 million.

Dividend Yield: 5.1%

Douglas Dynamics offers a reliable dividend, supported by a payout ratio of 49.4% from earnings and 81.8% from cash flows, placing it among the top 25% of US dividend payers with a yield of 5.11%. Despite high debt levels and projected earnings decline, its dividends have grown steadily over the past decade. Recent leadership changes include Mark Van Genderen's appointment as CEO, potentially influencing future strategic direction and financial performance.

• Click here and access our complete dividend analysis report to understand the dynamics of Douglas Dynamics.
• According our valuation report, there's an indication that Douglas Dynamics' share price might be on the cheaper side.

Seize The Opportunity

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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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