Top UK Dividend Stocks To Watch In August 2024
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The UK market has faced recent challenges, with the FTSE 100 index closing lower due to weak trade data from China and a sluggish global economic recovery. Despite these headwinds, dividend stocks remain an attractive option for investors seeking steady income amidst market volatility.
Top 10 Dividend Stocks In The United Kingdom
| Name | Dividend Yield | Dividend Rating |
| James Latham (AIM:LTHM) | 5.85% | ★★★★★★ |
| Impax Asset Management Group (AIM:IPX) | 7.34% | ★★★★★☆ |
| Big Yellow Group (LSE:BYG) | 3.67% | ★★★★★☆ |
| 4imprint Group (LSE:FOUR) | 3.12% | ★★★★★☆ |
| Man Group (LSE:EMG) | 5.77% | ★★★★★☆ |
| Dunelm Group (LSE:DNLM) | 6.43% | ★★★★★☆ |
| Epwin Group (AIM:EPWN) | 5.71% | ★★★★★☆ |
| DCC (LSE:DCC) | 3.79% | ★★★★★☆ |
| NWF Group (AIM:NWF) | 4.76% | ★★★★★☆ |
| Grafton Group (LSE:GFTU) | 3.48% | ★★★★★☆ |
Click here to see the full list of 58 stocks from our Top UK Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
Dunelm Group
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Dunelm Group plc, with a market cap of ￡2.45 billion, operates as a retailer of homewares in the United Kingdom.
Operations: Dunelm Group plc generates ￡1.68 billion in revenue from retailing homewares in the United Kingdom.
Dividend Yield: 6.4%
Dunelm Group's dividend payments have been volatile over the past decade, though they are currently covered by both earnings (58.1% payout ratio) and cash flows (74.8% cash payout ratio). Despite trading at 25.7% below estimated fair value, recent board changes and stable sales growth (￡1.71 billion for the year ending June 2024) highlight ongoing organizational shifts. The dividend yield of 6.43% places it in the top quartile of UK dividend payers, but its unstable track record warrants caution.
M&G Credit Income Investment Trust
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: M&G Credit Income Investment Trust plc focuses on investing in a diversified portfolio of public and private debt and debt-like instruments, with a market cap of ￡139.79 million.
Operations: M&G Credit Income Investment Trust plc generates ￡15.36 million from its financial services segment, specifically through closed-end funds.
Dividend Yield: 8.1%
M&G Credit Income Investment Trust's dividend yield of 8.12% ranks it in the top 25% of UK dividend payers, although its payments have been volatile over the past five years. The company's dividends are covered by both earnings (84.8% payout ratio) and cash flows (57.8% cash payout ratio). Recently, MGCI affirmed an interim dividend payment of ￡0.0215 per share for Q2 2024, payable on August 23rd to shareholders registered by August 2nd.