High Dividend Yield Stocks

DonGotti

Anyone know where I can find a free list of the highest paying dividend shares in the UK?

tradetime

You should be able to run a screen for them on a site like Interactive Investor for free.

sabretoothtigger

Dividend yield is a historic factor so dont take it as fact.


There other things to consider which would probably be discussed in a good article somewhere. Yield cover, book to price and cashflow I think are relevant


http://en.wikipedia.org/wiki/Dividend_payout_ratio

sabretoothtigger

high yield means high risk, there is no easy money

Some of the shares are in life insurance are high yield large companies with billions spare on their balance sheet but they are considered high risk due to liabilities stretching even further into the future then the banks have, ie. pensions, etc

ad44downey

sabretoothtigger wrote: »

high yield means high risk, there is no easy money

Some of the shares are in life insurance are high yield large companies with billions spare on their balance sheet but they are considered high risk due to liabilities stretching even further into the future then the banks have, ie. pensions, etc

Very true. Avoid the financial/insurance/property sectors completely and go for ftse-100 companies in defensive sectors that currently have a dividend yield of between 5 and 10%. Anything greater than 10% is obviously suspect.

sabretoothtigger

Right now the world loves bank stocks again, barclays is up 17% on yesterday, 60% since the start of the week or over 300% in the last 8 weeks. But -75% in the last year

Thats all capital gain and they wont pay a dividend till autumn at best.
You have to decide if greed is your game or level headed judgement on dividends for long term return. Consistency is king in the end

Jake'sGran

I want to start buying shares and have read a few times that it would be best to buy just a small amount each month.For what it is worth I am interested in Centrica, the owner of BG, Rexam and maybe BG itself. In the days when it was possible to buy a single company PEP I bought £3000 worth of BG and was pleased to see a couple of days ago that in the last year it had lost only £2K which is not as startling as some of the losses on other shares considering they are now worth £15K. Lots of people are still buying shares but for ordinary folks it probably is a good idea to buy just a small amount each month. I wanted to use Hoodless Brennan but have had problems getting the account to work properly and maybe will be better sticking with the ShareCentre.

timarr

I wouldn't buy individual shares unless you're really confident you can tell the gloss from the dross. How many people have dropped a small fortune on "safe" banks this year? Buy a low cost index tracker, invest regularly for 25 years, reinvest the dividends and unless everything goes completely haywire you should have a very comfortable retirement.

High yield stocks are generally higher risk. You need to differentiate between those that are high yielding because of general issues (e.g. rubbish economy) and those that are high yielding because they're going to go bust or cut their dividends (e.g. banks, BT, etc). If you have to buy individual stocks without being willing to analyse their balance sheets go for stuff that yields more than average but not extreme amounts - say 4.5% to 5.5% rather than 7% or more. A very high yield is an indication of a potential problem such as extreme debt which the company can't afford to repay. But really, if you can't do proper stock analysis then an index tracker is the only safe (and money saving) route to stockmarket investment.

I suggest the stock screener at digitallook is as good as any around. (Sorry can't post the proper link, 'cos the anti-spammer's stopping me).

timarr