Top 3 Dividend Stocks To Enhance Your Portfolio

In light of recent market fluctuations and mixed performances across major indices, investors are increasingly seeking stability amidst economic uncertainties. With value stocks outperforming growth shares and inflation data showing reassuring signs, dividend stocks present a compelling option for those looking to enhance their portfolios with steady income streams.

Top 10 Dividend Stocks

Click here to see the full list of 2098 stocks from our Top Dividend Stocks screener.

Here’s a peek at a few of the choices from the screener.

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Agma SA operates in Morocco, providing insurance and reinsurance advisory and brokerage services, with a market cap of MAD1.39 billion.

Operations: Agma SA’s revenue from insurance brokerage services is MAD160.81 million.

Dividend Yield: 4%

Agma’s dividend payments have been reliable and stable over the past 10 years, with a consistent growth pattern. The company’s price-to-earnings ratio (22x) is slightly below the MA market average (23x), indicating reasonable valuation. Despite a cash payout ratio of 63.5%, dividends are covered by cash flows. However, its dividend yield of 3.95% is lower than the top quartile of MA market payers (4.29%). Shares remain highly illiquid, posing potential risks for investors seeking liquidity.

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: I.B.I. Investment House Ltd. is a publicly owned holding investment firm with approximately NIS 11 billion ($2.63 billion) in assets under management and a market cap of ₪1.70 billion.

Operations: I.B.I. Investment House Ltd. generates revenue primarily from its investment management services, including portfolio management, mutual funds, and brokerage activities.

Dividend Yield: 4.6%

I.B.I. Investment House’s recent earnings report shows a decline in net income despite increased sales, impacting dividend sustainability. With a payout ratio of 45.4%, dividends are well-covered by earnings and cash flows, but the yield (4.6%) is below the IL market’s top quartile (6.91%). The dividend history has been volatile and unreliable over the past decade, although payments have increased during this period. Shares are trading at 35.7% below estimated fair value.

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Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Asia Tech Image Inc. manufactures and sells contact image sensor modules in Taiwan and China, with a market cap of NT$72.50 billion.

Operations: Asia Tech Image Inc. generates revenue from Asia amounting to NT$4.71 billion and from domestic sales totaling NT$3.39 billion.

Dividend Yield: 4.2%

Asia Tech Image’s dividend yield (4.2%) is below the top 25% of payers in the TW market (4.43%). Despite a reasonable payout ratio of 72.3% and cash payout ratio of 60.9%, dividends have been volatile over the past decade, making reliability a concern. Recent earnings showed mixed results with increased sales but decreased net income for Q2 2024 compared to last year, potentially impacting future dividend stability and growth prospects.

Next Steps

• Click here to access our complete index of 2098 Top Dividend Stocks.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include CBSE:AGM TASE:IBI and TPEX:4974.

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