Dividends of the week – Resolution Ltd and Ferrovial
This week we are going to use DividendMax to highlight a selection of dividend yields that look crazy. Our selection criteria is simple. All dividends with an annualised yield of over 10% over the next 3 dividends that are due / expected. The dividends of the week will be the one that we think looks the most plausible in the UK and one from Europe.
Our initial criteria revealed too many stocks with 18 over 10%. The geographic spread is interesting:
U.S. none Spain Eight U.K. Four Belgium two Portugal two France two
This says a lot about the woes of Europe at the moment, but we need more critria to shrink the list. Dividend cover greater than 1 shrinks the list to twelve. We then use market Cap > 2Billion The final criteria that we will use is, will the dividend increase. This brings the list down to a manageable level of 6 stocks.
Top of the list is ACS of Spain, followed by Ferrovial of Spain, who announced a whopping interim dividend of 1 euro last week. Next comes EDF and Resolution Ltd. Finally, Gas Natural and Iberdrola of Spain. For readers who do not venture out of the U.K, Resolution is the choice of the U.K. stocks. It is some way before any dividend is expected (April 2013). The annualised yield is just over 12%, with decent cover of 1.5.
For those of you who want some short term income and are happy to look abroad, my dividend of the week is Ferrovial, paying out 1 Euro against a price of Euro 11.45. These guys are not small and whilst exposed to Spain, they do have major assets that we all know with Heathrow and other U.K. airports following their takeover of B.A.A a few years back. According to my research, they go ex-dividend and pay the dividend on the 13/12/12, which is this coming Thursday. Check with your broker that you qualify for the dividend, which yields over 8% just for this one dividend.
GVC declare they will pay an interim dividend of 17.6p, reflecting an increase of 10% compared to last year, and in-line with the new policy of double-digit year-on-year increases.Read more
The Board has declared an interim dividend of 4.0 US cents per share in respect of the first half of 2019, down from 6.0 US cents. KAZ Minerals PLC, the parent company of the Group, is a non-trading investment holding company and derives its profits from dividends paid by subsidiary companies.Read more
The Marshalls board has declared an interim dividend of 4.70 pence (2018: 4.00 pence) per share, an increase of 18 per cent, reflecting the strong cash generation and the Group's continuing progressive dividend policy. The Board will continue to adhere to the Group's capital allocation policy and the policy of maintaining a 2 times dividend cover.Read more
Clarkson have increased their dividend by 1p per share to 25p per share. The Company has now delivered 16 years of consecutive dividend growth.Read more
The Board of Hargreaves Lansdown has declared a 2019 total ordinary dividend of 33.7 pence per share (2018: 32.2p), 5% ahead of last year. This is in line with EPS growth and maintains the ordinary dividend payout ratio at 65%. In addition, the Board has declared a special dividend of 8.3 pence per share (2018: 7.8p). The 2019 total dividend of 42.0 pence per share (2018: 40.0p) is up 5% and results in a total dividend payout ratio of 80.6% (2018: 80.6%). Subject to shareholder approval of the final dividend at the 2019 AGM, the final and special dividends will be paid on 18 October 2019 to all shareholders on the register at the close of business on 27 September 2019.Read more
Evraz has announced interim dividend for 2019 of US$508.17m (US$0.35 per share) has been declared, reflecting the Board's confidence in the Group's financial position and outlook.Read more
The Savills Board has declared an interim dividend of 4.95p per share (2018: 4.8p), supported by the performance of the Group's less transactional businesses. The interim dividend of 4.95p per share will be payable on 2 October 2019 to shareholders on the register on 5 September 2019.Read more
ContourGlobal have proposed quarterly dividend of USD 3.6901 cents per share, equivalent to $24.75 million, reflecting their commitment to 10% year on year dividend growth supported by ContourGlobal's strong and predictable cash flow generation.Read more
Arrow Global will pay a 4.4p interim dividend, an increase of 10% from the H1 2018 interim dividend of 4.0p. This is in line with the Group's policy to pay 50% of the previous year's final dividend.Read more