One of the best paying dividend stock on our list is Western Union. Dividend stocks are a great way to hedge your portfolio as they provide both steady income and cushion against market risks A sizeable part of portfolio returns can be produced by dividend stocks due to their contribution to compounding returns in the long run. As a long term investor, I favour these great dividend-paying stocks that continues to add value to my portfolio.
The Western Union Company (NYSE:WU)
The Western Union Company provides money movement and payment services worldwide. Founded in 2006, and currently lead by Hikmet Ersek, the company size now stands at 11,500 people and with the company’s market cap sitting at USD $9.32B, it falls under the mid-cap group.
WU has a good dividend yield of 3.80% and the company currently pays out -58.79% of its profits as dividends , with analysts expecting a 39.87% payout in three years. The company’s DPS has increased from US$0.04 to US$0.76 over the last 10 years. They have been reliable as well, ensuring that shareholders haven’t missed a payment during this 10 year period. Analysts are expecting strong shareholder returns over the next three years, estimating WU’s ROE in three years to be 39.48%. Interested in Western Union? Find out more here.
Garmin Ltd. (NASDAQ:GRMN)
Garmin Ltd. designs, develops, manufactures, markets, and distributes a range of navigation, communication, and information devices worldwide. Started in 1990, and now led by CEO Clifton Pemble, the company employs 12,300 people and with the market cap of USD $11.41B, it falls under the large-cap stocks category.
GRMN has a sizeable dividend yield of 3.39% and is distributing 55.14% of earnings as dividends , with the expected payout in three years being 65.04%. Although investors would have seen a few years of reduced payments, it has so far always picked up again, with dividends increasing from US$0.75 to US$2.04 over the past 10 years. Garmin’s performance over the last 12 months beat the us consumer durables industry, with the company reporting 36.06% EPS growth compared to its industry’s figure of 10.37%. Interested in Garmin? Find out more here.
Public Joint-Stock Company Mobile TeleSystems (NYSE:MBT)
Public Joint-Stock Company Mobile TeleSystems provides telecommunication services in Russia, Ukraine, Turkmenistan, and Armenia. Started in 1993, and now run by Andrey Dubovskov, the company employs 66,870 people and with the company’s market cap sitting at USD $12.14B, it falls under the large-cap stocks category.
MBT has a juicy dividend yield of 6.94% and the company currently pays out 89.02% of its profits as dividends . While there’s been some level of instability in the yield, MBT has overall increased DPS over a 10 year period from RUруб0.75 to RUруб0.86. Dig deeper into Public Joint-Stock Company Mobile TeleSystems here.
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.