Highest Dividend Paying Stocks in India in Last 5 Years
There is always a buzz in the financial domain about ‘dividend’. It is read with the concern that companies are paying low/high dividend, but the question is – Why should investors be concerned about dividend pay-outs by these companies? Why is dividend considered as an important parameter?
Before proceeding, let’s figure out what is dividend?
Dividends are a share of profit the company is willing to share with its shareholders. This mentioned payout ratio is known as the dividend payout ratio; the remainder company retains for its operation headed for future is known as retention ratio.
Furthermore, some of the highest dividend paying stocks in India are given below. Take a read:
- Ingersoll Rand: The company is typically engaged in the manufacturing & sale of the industrial air compressor and related services. It has a volatile stock price trend & the profit has been on a constant trail or a declining. However, the company is trading at its low price, but it expects more investors to pump-in funds, thus paying a higher dividend.
- Wall Street Financial Limited: The company has its business operations in the foreign currency exchange sector such as: forex digital solutions, traveler’s cheques, B2C and B2B foreign exchange. Talking about the scenario, the company has low-market capitalization & also it belongs to the smallcap sector.
- Indian Oil Corporation: To refresh your knowledge Indian Oil Corporation engages in oil refining, exploration, production, and pipelining. Taking care of financials, it has provided better financial growth for more than 5 years. In recent years, its price has declined, but again there has been an uptrend in the price.
- Vedanta: It comes under the business of gas and commercial power along with the sale and production of aluminum ore and iron. Talking about the performance, it has been constant for the past 5 years; also, the dividends.
- Merck Ltd: It is a German multinational chemical, life sciences, and pharmaceutical company. However, the company has a good track record for paying dividends since last 5 years.
Well, the investor should look at fundamentals & then decide.
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