Yahoo Finance June Top Cyclical Dividend Stock
A consumer cyclical company performance is driven by the business cycle. Companies such as Turners Automotive Group and Warehouse Group offer goods and services that are luxuries, instead of absolute necessities, such as entertainment and gambling. In periods of growth, consumers benefit from higher discretionary income which drives these companies’ profitability. Higher profits by and large lead to higher dividend payout so economic growth is an opportune time to benefit from these consumer stocks. If you’re a buy-and-hold investor, these healthy dividend stocks in the consumer cyclical industry can generously contribute to your monthly portfolio income.
Turners Automotive Group Limited (NZSE:TRA)
TRA has a enticing dividend yield of 5.15% and is distributing 52.90% of earnings as dividends , with analysts expecting a 55.55% payout in the next three years. Despite some volatility in the yield, DPS has risen in the last 10 years from NZ$0 to NZ$0.15. More detail on Turners Automotive Group here.
The Warehouse Group Limited (NZSE:WHS)
WHS has an alluring dividend yield of 7.77% and the company has a payout ratio of 85.39% . WHS’s 7.77% yield puts it in the top quartile of NZ payers. More detail on Warehouse Group here.
Briscoe Group Limited (NZSE:BGP)
BGP has an alluring dividend yield of 5.34% and the company currently pays out 68.23% of its profits as dividends , and analysts are expecting the payout ratio in three years to hit 69.11%. Although investors would have seen a few years of reduced payments, it has so far always picked up again, with dividends increasing from NZ$0.08 to NZ$0.19 over the past 10 years. Continue research on Briscoe Group here.
For more solid dividend paying companies to add to your portfolio, explore this interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.
The author is an independent contributor and at the time of publication had no position in the stocks mentioned.
