Dividend Stocks
Foreign Markets Offer Higher Dividend Yields
The current yield on the S&P 500 is just over 2%. Last year the yield was 2%. Many foreign markets offer higher dividend yields than the U.S. This is especially true with most developed countries.
In 1979, the S&P 500 had a 5.53% yield. But since 1990, it has steadily decreased and reached a low of 1.89% in 2007. In 2008, the yield rose to 3.11%. The current yield of just over 2% is very low. This is because many U.S. companies believe in reinvestment or retained capital as opposed to paying out a higher portion of profits to investors as dividends. In November last year, the Journal reported that the 500 largest non-financial companies by assets in the U.S. had stashed about $994 billion in cash and short-term investments.
The chart below shows the current dividend among G-7 countries:
Source: Pensions & Investments
Except Japan, all other countries have higher yields than the US. European companies traditionally have had higher payout ratios and continue to follow that policy.
The following 13 Foreign Stocks have Dividend Yields of Over 5%:
| S.No. | Company | Ticker | Country | Dividend Yield as of March 12, 2010 |
|---|---|---|---|---|
| 1 | Eni Spa | E | Italy | 5.74% |
| 2 | Ecopetrol | EC | Colombia | 5.33% |
| 3 | National Australia Bank Ltd | NABZY | Australia | 5.28% |
| 4 | Banco De Chile | BCH | Chile | 6.06% |
| 5 | Deutsche Telecome | DT | Germany | 7.65% |
| 6 | AstraZeneca Plc | AZN | U.K. | 7.71% |
| 7 | Grupo Aeroportuario del Sureste SA | ASR | Mexico | 8.42% |
| 8 | CorpBanca | BCA | Chile | 8.42% |
| 9 | BP Plc | BP | U.K. | 5.91% |
| 10 | CPFL Energia | CPL | Brazil | 6.37% |
| 11 | France Telecom | FTE | France | 6.94% |
| 12 | Reed Elsevier NV | ENL | The Netherlands | 6.78% |
| 13 | GlaxoSmithKline PLC | GSK | U.K. | 6.07% |
Another Take on Top 10 German Dividend Stocks
We reviewed the ten German stocks with high dividend yields last December. In this post lets take another look at the top German stocks that pay high dividends. One of the ETFs that is focused on German equities with high dividends is the ETFlab DAXplus® Maximum Dividend ETF. This ETF tracks the DAXplus® Maximum Dividend Index and contains 20 stocks that with the highest dividend yield forecast.
The Top 10 Constituents in the ETFLab DAXplus® Maximum Dividend ETF are:
1. Deutsche Telecom (DT)
Current Dividend Yield of Xetra Listed Equity(EUR): 9.78%
Current Dividend Yield of ADR: 8.04%
2. RWE AG (OTC: RWEOY)
Current Dividend Yield of Xetra Listed Equity(EUR): 7.10%
Current Dividend Yield of ADR: 6.89%
3. Hannover Rueckversicherungs (OTC: HVRRY)
Current Dividend Yield of Xetra Listed Equity(EUR): 7.08%
Current Dividend Yield of ADR: N/A
4. Wincor Nixdorf AG (WNXDY)
Current Dividend Yield of Xetra Listed Equity(EUR): 7.07%
Current Dividend Yield of ADR: 3.85%
5. E.ON AG (OTC: EONGY)
Current Dividend Yield of Xetra Listed Equity(EUR): 6.84%
Current Dividend Yield of ADR: 5.63%
6. Muenchener Rueckvers AG (OTC: MURGY)
Current Dividend Yield of Xetra Listed Equity(EUR): 6.54%
Current Dividend Yield of ADR: 4.69%
7. Duestche Post AG
Current Dividend Yield of Xetra Listed Equity(EUR): 5.94%
Current Dividend Yield of ADR: N/A
8. Allianz SE
Current Dividend Yield of Xetra Listed Equity(EUR): 5.76%
Current Dividend Yield of ADR: N/A
9. Symrise AG (OTC: SYIEY)
Current Dividend Yield of Xetra Listed Equity(EUR): 5.24%
Current Dividend Yield of ADR: 3.19%
10. Bilfinger Berger AG (OTC: BFLBY)
Current Dividend Yield of Xetra Listed Equity(EUR): 4.61%
Current Dividend Yield of ADR: N/A
RWE AG and EON AG are two of the largest electric and gas utilities in Germany with operations in other European countries as well. EON’s U.S. Midwest unit focuses primarily on the electricity and gas utility sectors in the state of Kentucky.Deutsche Telecom (DT) operates the T-Mobile cell phone service in the U.S.
11 Foreign Stocks with More than 5% Dividend Yields
Many foreign stocks trading as ADRs in the US markets have above average dividend yields. The following 11 stocks pay dividends of over 5% as of the February 26, 2010:
1. YPF SA(YPF)
Current Dividend Yield: 7.85%
Country: Argentina
Sector: Integrated Oil & Gas
2. TOTAL (TOT)
Current Dividend Yield: 6.09%
Country: France
Sector: Integrated Oil & Gas
3. Philippine Long Distance Telephone Co(PHI)
Current Dividend Yield: 5.75%
Country: Philippines
Sector: Telecom
4. ENI Spa(E)
Current Dividend Yield: 6.09%
Country: Italy
Sector: Integrated Oil & Gas
5. E.ON AG (OTC: EONGY)
Current Dividend Yield: 5.63%
Country: Germany
Sector: Electric Utility
6. Fortum(OTC: FOJCY)
Current Dividend Yield: 5.16%
Country: Finland
Sector: Electric Utility
7. Ecopetrol (EC)
Current Dividend Yield: 5.57%
Country: Colombia
Sector: Integrated Oil & Gas
8. Portugal Telecom (PT)
Current Dividend Yield: 7.10%
Country: Portugal
Sector: Telecom
9. National Australia Bank Ltd(OTC: NABZY)
Current Dividend Yield: 5.60%
Country: Australia
Sector: Banking
10. Banco De Chile (BCH)
Current Dividend Yield: 6.29%
Country: Chile
Sector: Banking
11. Veolia Environnement(VE)
Current Dividend Yield: 5.16%
Country: France
Sector: Environmental Management Services
National Australia Bank trades on the OTC markets. The stock has more than doubled from its 52-week lows. Finland-based electric utility Fortum is a consistent high dividend paying company. Fortum’s average dividend payout ratio of 50% to 60%. Last year, sales totalled EUR 5.4 billion and the operating profit was EUR 1.8 billion. E.ON AG of Germany is another top electric utility that offers stable and consistent growth.
Note: The data shown here are known to be accurate from the sources used. Please make your own due diligence before making any investment decisions.
11 Hi Dividend Yield, Hi Dividend Growth Rate Foreign Stocks
When picking dividend stocks, in addition to an attractive dividend yield it is important to select stocks that have high annual dividend growth rate.These two factors will give a better picture about the stocks than going with just the yield alone.
The following foreign stocks satisfy the two conditions:
Dividend Yield = > 2%
Average Annual Dividend Growth Rate in the past 5 years = > 10%
1.Endesa-Empresa Nacional de Electricidad (EOC)
Chile
Current dividend yield: 2.23%
Average Annual Dividend Growth Rate: 36%
2.Enersis (ENI)
Chile
Current dividend yield: 2.24%
Average Annual Dividend Growth Rate: 14%
3.National Grid (NGG)
UK
Current dividend yield: 4.56%
Average Annual Dividend Growth Rate: 13%
4.Veolia Environnement (VE)
France
Current dividend yield: 5.15%
Average Annual Dividend Growth Rate: 17%
5.Bancolombia (CIB)
Colombia
Current dividend yield: 2.76%
Average Annual Dividend Growth Rate: 34%
6.Corpbanca (BCA)
Chile
Current dividend yield: 4.84%
Average Annual Dividend Growth Rate: 26%
7.Bank of Novo Scotia (BNS)
Canada
Current dividend yield: 4.16%
Average Annual Dividend Growth Rate: 12%
8.Bank of Montreal (BMO)
Canada
Current dividend yield: 5.13%
Average Annual Dividend Growth Rate: 12%
9.Royal Bank of Canada (RY)
Canada
Current dividend yield: 5.33%
Average Annual Dividend Growth Rate: 15%
10.City Telecom (CTEL)
Hong Kong
Current dividend yield: 7.56%
Average Annual Dividend Growth Rate: 16.12%
11.Portugal Telecom (PT)
Portugal
Current dividend yield: 7.34%
Average Annual Dividend Growth Rate: 27.60%
Note: Data noted above is believed to be accurate. Please do your own research before making any investment decisions.
47 High-Yield Picks With Yields More Than 10%
I ran the stock screener for high dividend/yield stocks, trusts and funds with yields greater than 10% and trading in the New York Stock Exchange. This resulted in the following list. Investors looking for high yields can use this list as a starting point for further research.
Stocks and Funds Yielding > 10%:
| S.No. | Name | Ticker | Dividend Yield as of February 9, 2010 |
|---|---|---|---|
| 1 | AMR Corp | AAR | 10.18% |
| 2 | AllianceBernstein Holding LP | AB | 10.67% |
| 3 | Agree Realty Corporation | ADC | 10.27% |
| 4 | Ambac Financial Group Inc | AKT | 23.69% |
| 5 | Anworth Mortgage Asset Corporation | ANH | 15.86% |
| 6 | BP Prudhoe Bay Royalty Trust | BPT | 17.47% |
| 7 | Capstead Mortgage Corporation | CMO | 16.40% |
| 8 | Frontier Communications Corp | FTR | 13.19% |
| 9 | Dynex Capital, Inc. | DX | 10.23% |
| 10 | Eaton Vance Enhanced Equity Income Fund | EOI | 11.18% |
| 11 | General Maritime Corporation | GMR | 23.31% |
| 12 | Great Northern Iron Ore Properties | GNI | 11.56% |
| 13 | Glimcher Realty Trust | GRT | 12.35% |
| 14 | Iowa Telecommunications Services, Inc. | IWA | 10.09% |
| 15 | K-Sea Transportation Partners L.P. | KSP | 20.57% |
| 16 | Neuberger Berman High Yield Stratgs Fund | NHS | 11.11% |
| 17 | MFA Mortgage Investments | MFA | 14.75% |
| 18 | Mesabi Trust | MSB | 16.33% |
| 19 | Magyar Telekom Plc. (ADR) | MTA | 10.65% |
| 20 | Annaly Capital Management, Inc. | NLY | 16.78% |
| 21 | Telecom Corp of New Zealand (ADR) | NZT | 10.93% |
| 22 | Phoenix Co Inc | PFX | 10.58% |
| 23 | Putnam Master Int. Income | PIM | 10.26% |
| 24 | Sun Communities, Inc. | SUI | 14.25% |
| 25 | Torch Energy Royalty Trust | TRU | 10.00% |
| 26 | Vector Group Ltd. | VGR | 11.70% |
| 27 | Eaton Vance Tax-Managed Buy-Write Income | ETB | 12.54% |
| 28 | Encore Energy Partners LP | ENP | 11.14% |
| 29 | Resource Capital Corp. | RSO | 18.69% |
| 30 | MV Oil Trust | MVO | 10.92% |
| 31 | Delphi Financial Group Inc | DFP | 10.01% |
| 32 | Cohen and Steers Global Income Builder | INB | 11.11% |
| 33 | Eaton Vance Risk Managed Diversified | ETJ | 11.13% |
| 34 | ING International High Dividend Equity | IID | 12.55% |
| 35 | BlackRock EcoSolutions Investment Trust | BQR | 11.85% |
| 36 | Navios Maritime Partners L.P. | NMM | 10.75% |
| 37 | Chimera Investment Corporation | CIM | 17.17% |
| 38 | WSP Holdings Limited | WH | 11.32% |
| 39 | Teekay Tankers Ltd. | TNK | 20.55% |
| 40 | American International Group Inc | AVF | 11.49% |
| 41 | Hatteras Financial Corp. | HTS | 17.45% |
| 42 | Fifth Street Finance Corp. | FSC | 11.37% |
| 43 | Invesco Mortgage Capital Inc | IVR | 18.86% |
| 44 | Dow 30 Enhanced Premium & Income Fd Inc. | DPO | 10.83% |
| 45 | RiverSource LaSalle Inter. Rl Est Fd Inc | SLS | 20.37% |
| 46 | Cushing MLP Total Return Fund | SRV | 10.40% |
| 47 | Two Harbors Investment Corp | TWO | 11.52% |
Magyar Telekom Plc. of Hungary(MTA) and Telecom Corp of New Zealand(NZT) offer excellent dividends. Iowa Telecommunications Services (IWA) offers telecom services to customers in rural Iowa, Minnesota and Missouri.
BP Prudhoe Bay Royalty Trust (BPT) is a oil royalty trust operated by BP Alaska in the North Slope oil fields of Alaska. ING International High Dividend Equity Income Fund(IID) is closed-end fund which invests mainly in foreign stocks and derivatives linked to stocks.
Top 10 British Dividend Stocks for 2010
Recently Thisismoney website of the UK listed the top 10 dividend paying stocks for this year. These stocks were selected by investment management professionals who anticipate them to offer high yields and capital growth.
The stocks listed in the article are:
1. British American Tobacco (BTI)
Current Dividend Yield: 2.77%
Sector: Tobacco
2. BP Plc (BP)
Current Dividend Yield: 6.09%
Sector: Integrated Oil
3. Cable & Wireless (OTC: CWPUY)
Current Dividend Yield: 2.19%
Sector: Telecom
4. Centrica
Sector: Utility
5. GlaxoSmithKline (GSK)
Current Dividend Yield: 5.04%
Sector: Drugs
6. Imperial Tobacco (OTC: ITYBY)
Current Dividend Yield: 5.29%
Sector: Tobacco
7. National Grid (NGG)
Current Dividend Yield: 4.53%
Sector: Utility
8. Vodaphone plc (VOD)
Current Dividend Yield: 3.96%
Sector: Mobile Telecom
9. HMV Group
Sector: Retail
10. Halfords plc
Sector: Retail
