The highly cyclical materials industry has benefited producers in times of economic growth and seen many players out of business during a downturn. Hence an eye toward macroeconomic factors, such as demand for commodities, is necessary when investing in the materials sector. These materials stocks are also well-positioned to take advantage of rising commodity prices while offering an attractive dividend yield. I’ve identify the following materials stocks paying high income, which may increase the value of your portfolio.
Westlake Chemical Partners LP (NYSE:WLKP)
WLKP has a sumptuous dividend yield of 6.62% and is paying out 89.51% of profits as dividends . Besides the potential capital gains, WLKP’s yield alone is better than the low risk savings rate. Plus, a 6.62% yield places it amidst the market’s top dividend payers. More on Westlake Chemical Partners here.
Schnitzer Steel Industries, Inc. (NASDAQ:SCHN)
SCHN has a solid dividend yield of 2.34% and pays out 22.02% of its profit as dividends , with analysts expecting a 25.59% payout in the next three years. SCHN’s last dividend payment was US$0.75, up from it’s payment 10 years ago of US$0.068. The company has been a reliable payer too, not missing a payment during this time. The company outperformed the us metals and mining industry’s earnings growth of 52.62%, reporting an EPS growth of 153.14% over the past 12 months. Dig deeper into Schnitzer Steel Industries here.
P. H. Glatfelter Company (NYSE:GLT)
GLT has a nice dividend yield of 2.35% with a high payout ratio . GLT’s dividends have seen an increase over the past 10 years, with payments increasing from US$0.36 to US$0.52 in that time. They have been reliable as well, ensuring that shareholders haven’t missed a payment during this 10 year period. P. H. Glatfelter could be a good investment for its future growth, with analysts expecting the company’s earnings to grow by an exciting triple-digit over the next 12 months Dig deeper into P. H. Glatfelter here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.