Top Dividend Yielding Stocks

Dividend Stocks are a form of reward that the public-listed companies offer to their shareholders. Dividends are drawn from the company’s net profit. Well-established companies distribute their earrings from the public-listing back to their shareholders.

A dividend stock is kind of a bonus for the investors. Dividend investing can help the investors to earn potential profit in two ways: one, the anticipated income from the regular dividend payments, and second, capital appreciation over time. This is a great approach for investors to earn a good income. Plus, the high dividend stocks are one of the safest things to invest in. However, the profit will vary depending on various economic conditions.

What are dividend yield stocks?

Dividend Yield is a ratio that helps the investors to determine the dividend amount a company pays each year relative to its stock price.

Below is the formula:

Dividend Yield=Annual Dividend ×100 / Share Price

For eg: If X company provides dividends of Rs 100 and Y company declares a dividend of Rs 150, then the investors need to have good knowledge about the stock price to determine which one to invest in.

How to choose high dividend yield stocks? 

Investors should consider the two major factors:

1. The company should have a consistent history of paying dividends
2. There should be a consistent increase in the dividend yield of the stocks every year

Best Dividend Stocks to buy in India: 

Bajaj Auto LTD:

Bajaj Auto is one of the leading two and three-wheeler manufacturers in India. Based in Pune, Bajaj Auto is the world’s largest manufacturer of three-wheelers.

At NSE, the Bajaj Auto LTD Share Price has reached its 52-week high of Rs 3027.

Gail Limited:

Gail is an integrated energy company. Incorporated in 1984, the company is known as the Gas Authority of India. The main aim of the company is to create the best sustainable gas sector infrastructure in the country.

Before investing, one should have detailed knowledge about Gail share price to avoid any risks.

Hindustan Zinc LTD:

Hindustan Zinc is a market leader in the zinc-lead and sulphuric acid business. The main business consists of mining and smelting of zinc and lead along with captive power generation. The company is one of the lowest-cost producers in the world making it perfect to serve the growing demand of Asian countries.

To avoid any risks after investing, one should have detailed knowledge about Hindustan Zinc share price.

SJVN LTD:

Incorporated on May 24, 1988, SJVN is a joint venture between the Government of India and the State Government of Himachal Pradesh. The company’s main focus is to plan, investigate, execute, operate and maintain the hydroelectric power projects.

Before investing, one should have detailed knowledge about SJVN share price to avoid any risks.

ITC LTD:

ITC is one of India’s oldest private sectors that deals with fast-moving consumer goods. The company was incorporated on Aug 24, 1910. The company has a vast product portfolio that includes Foods, Personal Care, Cigarettes and Cigars, Branded Apparel, Education & Stationery Products, Incense Sticks and Safety Matches; Hotels, Paperboards and Packaging, Agri-Business and Information Technology.

At NSE, the ITC Share Price has reached its 52-week high of Rs 282.

Hero Motocorp LTD:

Hero MotoCorp Limited is the world’s largest manufacturer of two-wheelers. Based in New Delhi, the company consists of four manufacturing facilities namely Dharuhera and Gurgaon in Haryana, Haridwar in Uttarakhand and Neemrana. The company offers a diverse product portfolio that includes CD Dawn, CD Deluxe, Splendor Plus, Splendor NXG, Passion and Passion P.

Before investing, one should have detailed knowledge about Hero Motocorp share price to avoid any risks.

REC Limited:

Undertaken by the Ministry of Power, REC is a Navratna Central Public Sector. The brand is actively involved in financing the complete power sector value chain.

At NSE, the REC Share Price has reached its 52-week low of Rs 113.

Oil India Limited:

Incorporated in 1959, the main aim of the Oil India Limited is to develop and expand the newly discovered oil fields of Naharkatiya and Moran in the North-Eastern region of India.

Before investing, one should have detailed knowledge about Oil India share price to avoid any risks.

 Coal India Limited:

Coal India Limited is the largest coal producer and is under the ownership of the Ministry of Coal, Government of India headquartered in Kolkata, West Bengal, India. Being the largest coal producer in the world, the company accounts for 82% of the coal production in India. The company has 83 mining areas in 8 states of India.

At NSE, the Coal India Share Price has reached its 52-week low of Rs 133.

Infosys LTD:

Established in 1981, Infosys is the first Indian IT company to be listed on NASDAQ (National Association of Securities Dealers Automated Quotations). This multinational information technology company deals with business consulting, information technology and outsourcing services. After Tata Consultancy Services, Infosys is the second-largest Indian IT company by 2020 revenue figures.

At NSE, the Infosys Share Price has reached its 52-week high of Rs 1954.

Indian Oil Corporation Limited:

Headquartered in New Delhi, India Oil Corporation Limited is under the ownership of the Ministry of Petroleum and Natural Gas and Government of India. The company was ranked 212 on the Fortune Global 500 list of the world’s biggest corporations as of 2021.

At NSE, the Indian Oil Corporation Share Price has reached its 52-week low of Rs 102.

Wrapping up

High yield dividend stocks can be a great investment as it gives you a consistent income. Not only that, this is a perfect tool to enhance your investment portfolio. Plus, one can reinvest the dividend in other investments like Mutual Funds. However, before investing, it is best to take professional advice to be fully aware of all the financial risks. Here is a list of SEBI Registered Investment Advisors.

If you are totally new to investing, take your first step with ease by Opening a Demat account.

Disclaimer: “This blog is exclusively for educational purposes and does not provide any advice/tips on Investment or recommend buying and selling any stock”