Exploring Top ASX Dividend Stocks In May 2024

editorial-team@simplywallst.com (Simply Wall St)

13 May 2024 at 4:06 pm·4-min read

The Australian market has shown robust growth, climbing 1.5% over the last week and achieving a 7.3% increase over the past 12 months, with earnings expected to grow by 13% annually. In this context, selecting dividend stocks that offer consistent payouts and potential for capital appreciation can be particularly appealing to investors looking for both stability and growth in their portfolios.

Top 10 Dividend Stocks In Australia

Name	Dividend Yield	Dividend Rating
Lindsay Australia (ASX:LAU)	6.22%	★★★★★☆
Fiducian Group (ASX:FID)	3.79%	★★★★★☆
Nick Scali (ASX:NCK)	4.77%	★★★★★☆
Centuria Capital Group (ASX:CNI)	6.80%	★★★★★☆
Charter Hall Group (ASX:CHC)	3.66%	★★★★★☆
Premier Investments (ASX:PMV)	4.71%	★★★★★☆
Fortescue (ASX:FMG)	7.74%	★★★★★☆
Diversified United Investment (ASX:DUI)	3.23%	★★★★★☆
Macquarie Group (ASX:MQG)	3.37%	★★★★☆☆
Australian United Investment (ASX:AUI)	3.57%	★★★★☆☆

Click here to see the full list of 31 stocks from our Top ASX Dividend Stocks screener.

We're going to check out a few of the best picks from our screener tool.

Ampol

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Ampol Limited, operating in Australia, New Zealand, Singapore, and the United States, engages in the purchasing, refining, distribution, and marketing of petroleum products with a market capitalization of approximately A$8.68 billion.

Operations: Ampol Limited generates revenue through three primary segments: Z Energy (A$5.51 billion), Convenience Retail (A$5.99 billion), and Fuels and Infrastructure (A$33.63 billion).

Dividend Yield: 7.6%

Ampol Limited, with a dividend yield of 7.55%, ranks in the top quartile of Australian dividend payers. Despite this attractive yield, the sustainability is questionable as its dividends are not well-covered by earnings, evidenced by a high payout ratio of 93.3%. Additionally, Ampol's dividend history has been inconsistent over the past decade with significant volatility and unreliable payouts. Recent financials show a decline in net income from A$795.9 million to A$549.1 million year-over-year, further challenging future dividend reliability despite trading at 33.6% below estimated fair value and upcoming Q1 sales results announcement on April 30, 2024.

NRW Holdings

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: NRW Holdings Limited operates in Australia, offering diversified contract services to the resources and infrastructure sectors, with a market capitalization of approximately A$1.28 billion.

Operations: NRW Holdings Limited generates its revenue primarily from three segments: Mining (A$1.49 billion), MET (A$739.07 million), and Civil (A$593.62 million).

Dividend Yield: 5.2%

NRW Holdings has shown a modest increase in earnings, with sales rising to A$1.43 billion and net income reaching A$41.64 million as of December 2023. Despite a history of unreliable and volatile dividends, recent growth trends are positive, with earnings up 15.8% annually over five years and forecasts suggesting further growth at 14.05% per year. The dividend coverage is reasonable, supported by a payout ratio of 74% and cash flow coverage at 68.6%, though its dividend yield of 5.16% remains below the top Australian payers.

Sonic Healthcare

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Sonic Healthcare Limited provides medical diagnostic services to medical practitioners, hospitals, and community health services, with a market capitalization of approximately A$12.98 billion.

Operations: Sonic Healthcare Limited generates revenue primarily through its laboratory and radiology segments, with A$7.12 billion from laboratory services and A$0.84 billion from radiology services.

Dividend Yield: 3.8%

Sonic Healthcare has demonstrated consistent dividend growth over the past decade, although its current yield of 3.85% falls below the top quartile in Australia. Despite a stable historical payout, the dividends are poorly covered by both earnings and cash flow, with payout ratios at 98% and 87.5%, respectively. Recent financials show a decline in net income from A$382.35 million to A$202.31 million year-over-year, alongside reduced profit margins from 11.7% to 6%, suggesting potential pressure on future dividend sustainability.

Seize The Opportunity

Click through to start exploring the rest of the 28 Top ASX Dividend Stocks now.
Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
Elevate your portfolio with Simply Wall St, the ultimate app for investors seeking global market coverage.

Interested In Other Possibilities?

Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include ASX:ALDASX:NWHASX:SHL and

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com

Simply Wall St.
BT Group (LON:BT.A) Is Increasing Its Dividend To £0.0569
The board of BT Group plc ( LON:BT.A ) has announced that the dividend on 11th of September will be increased to...
Bloomberg
CEO Who Said No to $49 Billion Must Now Dismantle Anglo American
(Bloomberg) -- At 7:30 a.m. on Wednesday morning, Anglo American Plc Chairman Stuart Chambers wrapped up a board meeting from the company’s London headquarters, on the street where its iconic De Beers business had called home for almost a century.Most Read from BloombergDonald Trump Becomes First Former US President Guilty of CrimesSouth Africa Election Results With 29% Voting Districts InWorld’s Largest Nuclear Plant Sits Idle While Energy Needs SoarTrump Is Guilty on All Counts in Hush-Money C
Insider Monkey
The Richest Country in the World by GDP
We recently compiled a list of the 50 Richest Countries in the World by GDP and in this article we will talk about the country with the largest GDP in the world. Global Economic Outlook of Richest Countries The global economy has been facing strong headwinds since the COVID-19 pandemic including the world’s richest countries […]
Sky News
Ofwat hits ailing Thames Water with £40m fine over dividend payment
Britain's biggest water company has been told it faces a fine of more than £40m over the payment of a shareholder dividend in spite of its poor performance. Sky News has learnt that Ofwat notified Thames Water last month that it was minded to impose the penalty for breaching rules on the payment of dividends. The development will pile further pressure on Thames Water as it limps towards a potential temporary nationalisation under a debt mountain of more than £15bn.
Fool.co.uk
6%-10% yields! 2 UK shares I’d buy in June to target years of passive income
This Fool highlights a pair of UK shares from the blue-chip FTSE 100 and mid-cap FTSE 250 indexes that appear to offer fantastic value. The post 6%-10% yields! 2 UK shares I’d buy in June to target years of passive income appeared first on The Motley Fool UK.
Fool.co.uk
Best British dividend stocks to consider buying in June
We asked our writers to share their top dividend stock for June, including a Share Advisor 'Ice' recommendation! The post Best British dividend stocks to consider buying in June appeared first on The Motley Fool UK.
Fool.co.uk
£100k in savings? Here’s how I’d aim to turn that into a £1.2k monthly passive income
Investing large sums of capital can be daunting at first, but tactical allocation could unlock a substantial passive income in the long run. The post £100k in savings? Here’s how I’d aim to turn that into a £1.2k monthly passive income appeared first on The Motley Fool UK.
The Telegraph
Labour’s spending plans will drive Britain to the brink
Would-be Chancellor Rachel Reeves has tried to defuse the “tax bombshell” by claiming that Labour’s spending plans would not require any additional tax rises on top of those she has already planned. Moreover, she appears to have ruled out any increases in the main rates of income tax, National Insurance, VAT or corporation tax, or any new form of “wealth tax”, whatever the economic circumstances.
Fool.co.uk
3 blue-chip dividend stocks to consider buying in June
Edward Sheldon believes these three well-known dividend stocks are capable of providing double-digit annual returns in the years ahead. The post 3 blue-chip dividend stocks to consider buying in June appeared first on The Motley Fool UK.
Fool.co.uk
3 years ago I built my ISA and SIPP around these 4 stocks. Here’s what happened
Investing in these four magnificent picks within his Stocks and Shares ISA and SIPP has helped Edward Sheldon build wealth for retirement. The post 3 years ago I built my ISA and SIPP around these 4 stocks. Here’s what happened appeared first on The Motley Fool UK.
The Telegraph
Putin set to increase taxes to pay for war in Ukraine
Vladimir Putin plans to impose the largest tax rises on Russians since the 1990s to help pay for his war in Ukraine.
Fool.co.uk
Up 72% in a year and a decade of dividend growth! Is this my perfect UK stock?
Harvey Jones is on the hunt for his perfect UK stock and is wondering whether he's now found it in this FTSE 100 dividend growth machine. The post Up 72% in a year and a decade of dividend growth! Is this my perfect UK stock? appeared first on The Motley Fool UK.
The Telegraph
There’s a crushing consensus that Britain’s economic stagnation is now inevitable
The Tory party has tried and failed to convince the public that they are better off these past few years. This should surprise no one. The spike in the tax burden, combined with the inflation crisis, has been felt by practically everyone.
Fool.co.uk
The Lloyds share price is near a 9-year high! Here’s my forecast for 2024
For almost a decade, the Lloyds share price has been struggling to regain previous highs. Are the bank's fortunes set to change this year? The post The Lloyds share price is near a 9-year high! Here’s my forecast for 2024 appeared first on The Motley Fool UK.
The Telegraph
Questor: There’s never a perfect time to invest – this UK fund is a smart buy
There is never a perfect time to invest in the stock market.
Fool.co.uk
£78bn of passive income? It’s easily available!
Christopher Ruane explains how, as a private investor with limited funds, he aims to tap into the passive income gusher of FTSE 100 shares. The post £78bn of passive income? It’s easily available! appeared first on The Motley Fool UK.
Fool.co.uk
7% dividend yield! 3 small-cap dividend shares that could deliver a £1,400 second income
These small-cap shares offer bigger dividend yields than most FTSE 100 and FTSE 250 stocks! Here's why I'd buy them for a long-term second income. The post 7% dividend yield! 3 small-cap dividend shares that could deliver a £1,400 second income appeared first on The Motley Fool UK.
The Telegraph
‘I’m a stuntman with no pension – should I sell four of my Lamborghinis and buy gold?’
Whether it’s being set on fire multiple times or jumping off an 80ft cliff, there isn’t much veteran stuntman Riky Ash hasn’t done.
Fool.co.uk
The FTSE 100 is flying higher, but this stock is still outperforming it
Jon Smith flags up the record highs on the FTSE 100, but explains one growth stock that has outperformed it over the past year. The post The FTSE 100 is flying higher, but this stock is still outperforming it appeared first on The Motley Fool UK.
Fool.co.uk
2 penny shares to consider buying while their prices are still cheap
I thought these two penny shares looked good value in late 2023. Their prices have gained since then, but I still like what I see today. The post 2 penny shares to consider buying while their prices are still cheap appeared first on The Motley Fool UK.

FTSE 100

FTSE 250

AIM

GBP/EUR

GBP/USD

Bitcoin GBP

CMC Crypto 200

S&P 500

DOW

CRUDE OIL

GOLD FUTURES

NIKKEI 225

HANG SENG

DAX

CAC 40

10 bijou homes that are big on style

Top 10 Dividend Stocks In Australia

Seize The Opportunity

Interested In Other Possibilities?

Latest stories