The materials industry is deeply cyclical with producers benefiting highly during an economic boom and many players going bankrupt in a bust. Hence an eye toward macroeconomic factors, such as demand for commodities, is necessary when investing in the materials sector. Another key driver of a materials company’s profit is the commodity prices which in turn steers the level of dividend payouts and yield. Below is my list of huge dividend-paying stocks in the materials industry that continues to add value to my portfolio holdings.
Bemis Company, Inc. (NYSE:BMS)
BMS has a sizeable dividend yield of 2.48% and is currently distributing 56.21% of profits to shareholders . BMS has increased its dividend from $0.84 to $1.2 over the past 10 years. They have been dependable too, not missing a single payment in this time.
Sonoco Products Company (NYSE:SON)
SON has a decent dividend yield of 2.89% and distributes 55.51% of its earnings to shareholders as dividends . SON’s last dividend payment was $1.56, up from it’s payment 10 years ago of $1.04. They have been reliable as well, ensuring that shareholders haven’t missed a payment during this 10 year period.
Reliance Steel & Aluminum Co. (NYSE:RS)
RS has a solid dividend yield of 2.04% and the company has a payout ratio of 34.58% . RS’s last dividend payment was $1.8, up from it’s payment 10 years ago of $0.32. The company has been a reliable payer too, not missing a payment during this time.
For more solid dividend payers to add to your portfolio, you can use our free platform to explore our 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.