November Transport Dividend Favorites – Clarkson And More
Transport and automobile names generally suffer from deep cyclicality which can affect companies operating in areas ranging from airfreight and logistics to infrastructure. Therefore, where we are in the economic cycle determines these companies’ 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. If you’re a long term investor, these high-dividend transport and automobile stocks can boost your monthly portfolio income.
Clarkson PLC (LSE:CKN)
CKN has a decent dividend yield of 2.26% and is currently distributing 51.50% of profits to shareholders , with the expected payout in three years being 54.84%. CKN’s last dividend payment was £0.65, up from it’s payment 10 years ago of £0.38. It should comfort existing and potential future shareholders to know that CKN hasn’t missed a payment during this time.
The Go-Ahead Group plc (LSE:GOG)
GOG has an appealing dividend yield of 6.37% and pays out 49.15% of its profit as dividends , with analysts expecting this ratio to be 59.16% in the next three years. Although there has been some volatility in the company’s dividend yield, the DPS over a 10 year period has increased from £0.7 to £1.0208. When we compare Go-Ahead Group’s PE ratio with its industry, the company appears favorable. The GB Road and Rail industry’s average ratio of 14.1 is above that of Go-Ahead Group’s (7.7).
Northgate plc (LSE:NTG)
NTG has an appealing dividend yield of 4.05% and the company currently pays out 37.85% of its profits as dividends , and analysts are expecting the payout ratio in three years to hit 39.42%. Besides capital gain prospects, just the yield is higher than the low risk savings rate – enticing for investors with goals of beating their bank accounts. Plus, a 4.05% yield places it amidst the market’s top dividend payers.
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.