3 Dividend Stocks To Consider With Up To 5.9% Yield

The market has stayed flat over the past week but has risen 11% in the last year, with earnings forecasted to grow by 15% annually. In this environment, dividend stocks can be an attractive option for investors seeking steady income and potential growth, offering yields that can enhance overall portfolio returns.

Top 10 Dividend Stocks In The United States

Click here to see the full list of 136 stocks from our Top US Dividend Stocks screener.

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

Alexander & Baldwin (ALEX)

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

Overview: Alexander & Baldwin, Inc. (NYSE: ALEX) is a real estate investment trust that focuses exclusively on Hawai'i commercial real estate, being the state's largest owner of grocery-anchored neighborhood shopping centers, with a market cap of $1.30 billion.

Operations: Alexander & Baldwin generates revenue primarily from its Commercial Real Estate segment, which accounts for $199.54 million, and its Land Operations segment, contributing $29.66 million.

Dividend Yield: 5%

Alexander & Baldwin offers a dividend yield of 5.01%, placing it in the top 25% of US dividend payers, with dividends covered by earnings and cash flows (payout ratios: 67% and 60.6%). However, its dividend history is unstable, and earnings are forecasted to decline by an average of 8.6% annually over the next three years. Recent developments include redevelopment plans for Komohana Industrial Park, which could impact future revenue streams positively upon completion in late 2026.

• Navigate through the intricacies of Alexander & Baldwin with our comprehensive dividend report here.
• Our expertly prepared valuation report Alexander & Baldwin implies its share price may be lower than expected.

Banco Latinoamericano de Comercio Exterior S. A (BLX)

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

Overview: Banco Latinoamericano de Comercio Exterior S.A. (BLX) is a financial institution that specializes in providing trade financing solutions across Latin America, with a market cap of approximately $1.55 billion.

Operations: Banco Latinoamericano de Comercio Exterior S.A. (BLX) generates its revenue primarily from two segments: $28.58 million from Treasury and $260.93 million from Commercial activities.

Dividend Yield: 5.9%

Banco Latinoamericano de Comercio Exterior, S.A. provides a dividend yield of 5.91%, ranking it among the top 25% of US dividend payers, supported by a low payout ratio of 40.2%. Despite this, its dividend history has been volatile over the past decade. The company recently dropped from several Russell indices but announced a strategic alliance with Silver Birch Finance to enhance trade financing in Latin America, potentially impacting future growth positively.

• Unlock comprehensive insights into our analysis of Banco Latinoamericano de Comercio Exterior S. A stock in this dividend report.
• Our valuation report here indicates Banco Latinoamericano de Comercio Exterior S. A may be undervalued.

Valero Energy (VLO)

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

Overview: Valero Energy Corporation operates in the manufacturing, marketing, and selling of petroleum-based and low-carbon liquid transportation fuels and petrochemical products across multiple regions including the United States, Canada, Europe, Latin America, and more with a market cap of approximately $47.94 billion.

Operations: Valero Energy's revenue segments include Ethanol at $4.61 billion, Renewable Diesel at $4.56 billion, and Refining (including VLP but excluding Renewable Diesel) at $122.48 billion.

Dividend Yield: 3%

Valero Energy's dividend yield of 3.04% falls short of the top 25% in the US market, and its high payout ratio of 149.2% raises concerns about sustainability, although cash flows cover dividends with a lower cash payout ratio of 29.3%. Despite reliable and growing dividends over ten years, recent financial results show a net loss and reduced profit margins. Valero was recently added to the Russell Midcap Value Index after being dropped from several Russell Top 200 indices.

• Click here and access our complete dividend analysis report to understand the dynamics of Valero Energy.
• Insights from our recent valuation report point to the potential overvaluation of Valero Energy shares in the market.

Seize The Opportunity

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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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