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As the United Kingdom's financial markets exhibit resilience, with the FTSE 100 poised for an upbeat opening in response to stable wage figures, investors are closely monitoring various economic indicators. Amid these developments, dividend stocks continue to attract attention for their potential to offer steady income in a fluctuating market environment.
Top 10 Dividend Stocks In The United Kingdom
Name | Dividend Yield | Dividend Rating |
Record (LSE:REC) | 7.94% | ★★★★★★ |
Dunelm Group (LSE:DNLM) | 7.68% | ★★★★★☆ |
Keller Group (LSE:KLR) | 3.96% | ★★★★★☆ |
DCC (LSE:DCC) | 3.22% | ★★★★★☆ |
Plus500 (LSE:PLUS) | 6.00% | ★★★★★☆ |
Grafton Group (LSE:GFTU) | 3.75% | ★★★★★☆ |
Rio Tinto Group (LSE:RIO) | 6.04% | ★★★★★☆ |
NWF Group (AIM:NWF) | 3.58% | ★★★★★☆ |
Hargreaves Services (AIM:HSP) | 6.29% | ★★★★★☆ |
Big Yellow Group (LSE:BYG) | 4.03% | ★★★★★☆ |
Click here to see the full list of 55 stocks from our Top Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
Kingfisher
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Kingfisher plc operates as a retailer of home improvement products and services across the United Kingdom, Ireland, France, and other international markets, with a market capitalization of approximately £4.93 billion.
Operations: Kingfisher plc generates £12.98 billion from the sale of home improvement products and services.
Dividend Yield: 4.7%
Kingfisher plc, trading at a significant discount to its fair value, offers a dividend yield of 4.67%, which is lower than the top UK dividend payers. Despite this, the company has shown an ability to grow earnings by an estimated 11.49% annually. Dividends have increased over the past decade but have been marked by volatility and inconsistency in growth. Financially, dividends are supported by a reasonable payout ratio of 68.2% and a low cash payout ratio of 24.1%, indicating good coverage by both earnings and cash flows.
PageGroup
Simply Wall St Dividend Rating: ★★★★★☆
Overview: PageGroup plc operates as a recruitment consultancy offering services across the UK, Europe, the Middle East, Africa, Asia Pacific, and the Americas with a market capitalization of approximately £1.48 billion.
Operations: PageGroup plc generates its revenue primarily through recruitment services, totaling £2.01 billion.
Dividend Yield: 6.8%
PageGroup's dividend yield of 6.84% ranks well among UK's top dividend payers. Despite a challenging year with net profit margins falling to 3.8% from 7%, and net income decreasing to £77.07 million from £139.01 million, dividends increased by 4.5%. The company maintains a high payout ratio at 67.1%, supported adequately by earnings and cash flows, with an expected earnings growth of 16.56%. However, its decade-long dividend history shows instability, reflecting periodic significant drops over 20%.