Dividend stocks such as Wayside Technology Group and HNI can help diversify the constant stream of cash flows from your portfolio. A large part of investment returns can be generated by dividend-paying stock given their role in compounding returns over time. As a long term investor with a short term temperament, I highly recommend these top dividend stocks.
Wayside Technology Group, Inc. (NASDAQ:WSTG)
Wayside Technology Group, Inc. operates as an information technology channel company worldwide. Formed in 1982, and now led by CEO David DeWindt, the company now has 139 employees and with the company’s market capitalisation at USD $63.99M, we can put it in the small-cap category.
WSTG has a enticing dividend yield of 5.06% and the company currently pays out 57.02% of its profits as dividends . The company’s dividends per share have risen from US$0.60 to US$0.68 over the last 10 years. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. It should comfort potential investors that the company isn’t expensive when we look at its PE ratio compared to the US Electronic industry. Wayside Technology Group’s PE ratio is 11.3 while its industry average is 22.7. More on Wayside Technology Group here.
HNI Corporation (NYSE:HNI)
HNI Corporation manufactures and sells office furniture and hearth products in the United States, Canada, China, Hong Kong, India, Mexico, Dubai, and Taiwan. Founded in 1944, and currently lead by Stanley Askren, the company currently employs 9,100 people and with the company’s market cap sitting at USD $1.60B, it falls under the small-cap group.
HNI has a good-sized dividend yield of 3.21% and their current payout ratio is 56.91% . HNI’s dividends have increased in the last 10 years, with DPS increasing from US$0.86 to US$1.18. They have been dependable too, not missing a single payment in this time. HNI’s future earnings growth looks strong, with analysts expecting 58.85% EPS growth in the next three years. Continue research on HNI here.
Aircastle Limited (NYSE:AYR)
Aircastle Limited, through its subsidiaries, leases, finances, sells, and manages commercial flight equipment to airlines worldwide. Started in 2004, and currently headed by CEO Michael Inglese, the company employs 111 people and has a market cap of USD $1.68B, putting it in the small-cap category.
AYR has a juicy dividend yield of 5.26% and distributes 52.21% of its earnings to shareholders as dividends . While the yield has dropped at times in the last 10 years, dividends per share during this time have increased overall from US$1.00 to US$1.12. Continue research on Aircastle here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.