Top LSE Materials Dividend Picks For The Day
The oil price recovery and strong economic momentum have benefited the materials sector with companies involved in steel, chemicals and mining. Therefore, this industry is a macroeconomic play with the opportunity of riding the wave in times of robust demand for commodities. Another key driver of a materials company’s profit is the commodity prices which in turn steers the level of dividend payouts and yield. Today I will share with you my list of high-dividend materials stocks you should consider for your portfolio.
Synthomer plc (LSE:SYNT)
SYNT has a solid dividend yield of 2.26% and distributes 56.04% of its earnings to shareholders as dividends . Despite some volatility in the yield, DPS has risen in the last 10 years from UK£0.096 to UK£0.12. Synthomer’s future earnings growth looks strong, with analysts expecting 57.92% EPS growth in the next three years. Interested in Synthomer? Find out more here.
Vedanta Resources plc (LSE:VED)
VED has an appealing dividend yield of 6.86% and pays 76.62% of it’s earnings as dividends . While there’s been some fluctuation in the yield over the last 10 years, the dividends per share have increased in this time. Dig deeper into Vedanta Resources here.
Polymetal International Plc (LSE:POLY)
POLY has a sumptuous dividend yield of 4.49% and distributes 53.43% of its earnings to shareholders as dividends . 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 4.49% yield places it amidst the market’s top dividend payers. Over the next three years, analysts predict double digit earnings growth for Polymetal International of 82.30%. Continue research on Polymetal International 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.
