Top Dividend Stocks To Watch In August 2025

Simply Wall St

As the Dow Jones Industrial Average reaches new heights, contrasting with declines in the S&P 500 and Nasdaq due to Big Tech slumps, investors are closely watching the Federal Reserve's upcoming decisions on interest rates amidst mixed inflation signals. In this environment of fluctuating indices and economic uncertainty, dividend stocks can provide a measure of stability and income, making them an attractive option for those looking to navigate these volatile market conditions.

Top 10 Dividend Stocks In The United States

NameDividend YieldDividend Rating
Peoples Bancorp (PEBO)5.54%★★★★★☆
Huntington Bancshares (HBAN)3.72%★★★★★☆
First Interstate BancSystem (FIBK)6.20%★★★★★★
Ennis (EBF)5.55%★★★★★★
Employers Holdings (EIG)3.05%★★★★★☆
Douglas Dynamics (PLOW)3.63%★★★★★☆
Dillard's (DDS)4.97%★★★★★★
Columbia Banking System (COLB)5.59%★★★★★★
Citizens & Northern (CZNC)5.79%★★★★★☆
Banco Latinoamericano de Comercio Exterior S. A (BLX)5.55%★★★★★☆

Click here to see the full list of 135 stocks from our Top US Dividend Stocks screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Value Line (VALU)

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

Overview: Value Line, Inc. is involved in producing and selling investment periodicals and related publications, with a market cap of $360.63 million.

Operations: Value Line, Inc.'s revenue primarily comes from its Publishing segment, which generated $35.08 million.

Dividend Yield: 3.4%

Value Line has maintained a reliable dividend history over the past decade, with stable and growing payments. The recent quarterly dividend of $0.325 per share underscores its commitment to returning value to shareholders. Despite a slight revenue decline to US$35.08 million for the year ended April 30, 2025, net income increased to US$20.69 million, supporting sustainable dividends with a payout ratio of 55.8%. However, its yield is modest compared to top-tier US dividend stocks.

VALU Dividend History as at Aug 2025

Paychex (PAYX)

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

Overview: Paychex, Inc. offers human capital management solutions including payroll, employee benefits, HR, and insurance services for small to medium-sized businesses across the United States, Europe, and India with a market capitalization of approximately $49.80 billion.

Operations: Paychex, Inc.'s revenue from Staffing & Outsourcing Services is $5.57 billion.

Dividend Yield: 3.1%

Paychex has consistently delivered stable and growing dividends over the past decade, with a recent quarterly payment of $1.08 per share. However, its dividend yield of 3.14% is lower than the top 25% of US dividend payers and is not well covered by free cash flow, with a high payout ratio of 87.4%. Recent developments include a partnership with SoFi to enhance employee benefits through Paychex Flex Perks, although insider selling raises some concerns.

PAYX Dividend History as at Aug 2025

RLI (RLI)

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

Overview: RLI Corp. is an insurance holding company that underwrites property, casualty, and surety insurance products, with a market cap of $6.13 billion.

Operations: RLI Corp.'s revenue segments include $146.68 million from surety, $909.15 million from casualty, and $531.08 million from property insurance products.

Dividend Yield: 4%

RLI's dividends have been volatile over the past decade, with a current quarterly payment of $0.16 per share. Despite a low payout ratio of 17% and cash payout ratio of 38.9%, which indicate strong coverage by earnings and cash flows, the dividend yield of 3.95% is below top-tier US payers. Recent earnings show mixed results, with second-quarter net income rising to $124.34 million but six-month figures declining year-over-year to $187.55 million from $209.89 million.

RLI Dividend History as at Aug 2025

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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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