June Industrial Dividend Stock Picks
Industrial names generally suffer from deep cyclicality which can affect companies operating in areas ranging from machinery to aerospace to construction. Hence, considering economic volatility is of paramount importance when thinking about an industrials company’s profitability. This impacts cash flows which in turn determines the level of dividend payout. During times of growth, these industrial names could provide a strong boost to your portfolio income. I’ve identify the following industrials stocks paying high income, which may increase the value of your portfolio.
The Timken Company (NYSE:TKR)
TKR has a solid dividend yield of 2.30% and pays 34.21% of it’s earnings as dividends . While there’s been some level of instability in the yield, TKR has overall increased DPS over a 10 year period from US$0.68 to US$1.12. The company’s future earnings growth looks promising, with analysts expecting earnings growth over the next three years to reach 56.68%. Dig deeper into Timken here.
MSC Industrial Direct Co., Inc. (NYSE:MSM)
MSM has a good dividend yield of 2.56% and is distributing 36.91% of earnings as dividends , with analysts expecting a 40.20% payout in three years. MSM’s dividends have increased in the last 10 years, with DPS increasing from US$0.72 to US$2.32. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. Interested in MSC Industrial Direct? Find out more here.
Dover Corporation (NYSE:DOV)
DOV has a nice dividend yield of 2.39% and pays 37.30% of it’s earnings as dividends , and analysts are expecting the payout ratio in three years to hit 38.01%. DOV’s dividends have increased in the last 10 years, with DPS increasing from US$0.80 to US$1.88. The company has been a dependable payer too, not missing a payment in this 10 year period. Interested in Dover? Find out more 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.
