May Transport Dividend Stock Picks
The professional services sector tends to be highly cyclical, impacting companies operating in areas ranging from airlines to auto parts and equipment to infrastructure. As such, the position a company has relative to the economic cycle drives its level of profitability. Cash flow availability also drives dividend payout, so in times of growth, these transport companies could provide hefty dividend income for your portfolio. Here are my top dividend stocks in the transport and automobile industry that could be valuable additions to your current holdings.
South Port New Zealand Limited (NZSE:SPN)
SPN has a good dividend yield of 3.94% and pays out 73.87% of its profit as dividends . SPN’s last dividend payment was NZ$0.26, up from it’s payment 10 years ago of NZ$0.077. They have been reliable as well, ensuring that shareholders haven’t missed a payment during this 10 year period. The company outperformed the asia infrastructure industry’s earnings growth of 4.34%, reporting an EPS growth of 19.16% over the past 12 months. More on South Port New Zealand here.
Tourism Holdings Limited (NZSE:THL)
THL has a large dividend yield of 4.03% and pays out 69.01% of its profit as dividends , with analysts expecting the payout in three years to be 83.92%. Despite some volatility in the yield, DPS has risen in the last 10 years from NZ$0.11 to NZ$0.26. Interested in Tourism Holdings? Find out more here.
Freightways Limited (NZSE:FRE)
FRE has a wholesome dividend yield of 3.56% and is paying out 77.63% of profits as dividends , with analysts expecting this ratio to be 77.72% in the next three years. While there’s been some fluctuation in the yield over the last 10 years, the dividends per share have increased in this time. More detail on Freightways 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.
