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. These materials stocks are also well-positioned to take advantage of rising commodity prices while offering an attractive dividend yield. Below is my list of huge dividend-paying stocks in the materials industry that continues to add value to my portfolio holdings.
Kaiser Aluminum Corporation (NASDAQ:KALU)
KALU has a good dividend yield of 2.09% and is currently distributing 40.48% of profits to shareholders . KALU’s dividends have seen an increase over the past 10 years, with payments increasing from $0.72 to $2.2 in that time. They have been dependable too, not missing a single payment in this time. Interested in Kaiser Aluminum? Find out more here.
Compass Minerals International, Inc. (NYSE:CMP)
CMP has an appealing dividend yield of 4.19% and is distributing 67.08% of earnings as dividends , with the expected payout in three years hitting 73.15%. In the case of CMP, they have increased their dividend per share from $1.34 to $2.88 so in the past 10 years. It should comfort existing and potential future shareholders to know that CMP hasn’t missed a payment during this time. The company’s latest earnings per share figure was $3.64, up 16.99% from the previous year. Interested in Compass Minerals International? Find out more here.
Greif, Inc. (NYSE:GEF)
GEF has a wholesome dividend yield of 3.11% and their current payout ratio is 67.75% . In the last 10 years, shareholders would have been happy to see the company increase its dividend from $1.12 to $1.68. During this period, they haven’t missed a payment, as one would expect from a company increasing their dividend. If analysts predictions are right, Greif has some strong earnings growth on the short-term horizon with an expected increase in EPS of 38.49% over the next 12 months. Dig deeper into Greif 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.