Top 20 FTSE 100 Dividend Paying Stocks

THE INCOME INVESTOR: The largest companies in the UK source their revenues internationally, meaning your dividend stream is boosted by global economic growth

Emma Wall 29 January, 2019 | 8:14AM

pharmaceutical equity analysis stock picks joint venture merger biotech

Britain’s largest companies are international players. The 100 stocks in the FTSE 100 operate on a global basis, drawing 70% of their revenues from outside of the UK. For many investors too wary to invest directly in emerging markets, buying FTSE 100 listed stocks can offer access to the emerging markets growth story, but with the comfort of a level of corporate governance and transparent shareholder dealings that are upheld in developed markets.

Income continues to be the main concern for investors in the UK – both in the run up to retirement, where dividends reinvested can significantly boost total returns, and for those that have already started drawing on their pension dividends can help supplement their post-retirement income.

FTSE 100 stocks may not offer the same potential for growth as their smaller counterparts, but broadly speaking the dividends paid by these megacaps are more secure than those paid by small and medium sized companies.

Using Morningstar Direct we screened for the top 20 dividend-paying stocks in the FTSE 100. Please be aware this is a 12-month historic yield, and so is no indication of future pay-outs. New entries to the list are marked with an asterisk, there are four this update.

Persimmon (PSN)
Yield: 9.82%
Industry: Residential Construction

Vodafone Group (VOD)
Yield: 9.77%
Industry: Telecom Services

Standard Life Aberdeen (SLA)
Yield: 9.46%
Industry: Insurance – Life

Centrica (CNA)
Yield: 8.89%
Industry: Utilities

SSE (SSE)
Yield: 8.46%
Industry: Utilities

British American Tobacco (BATS)*
Yield: 8.16%
Industry: Tobacco

Imperial Brands (IMB)
Yield: 7.51%
Industry: Tobacco

Aviva (AV.)
Yield: 6.9%
Industry: Insurance

WPP (WPP)*
Yield: 6.87%
Industry: Advertising Agencies

Marks & Spencer (MKS)
Yield: 6.45%
Industry: Department Store

BT Group (BT.A)
Yield: 6.42%
Industry: Telecom Services

Royal Dutch Shell (RDSB)
Yield: 6.28%
Industry: Oil & Gas Integrated

Direct Line Insurance (DLG)
Yield: 6.2%
Industry: Insurance – Diversified

Legal & General Group (LGEN)
Yield: 6.09%
Industry: Insurance – Life

BP (BP.)
Yield: 6.03%
Industry: Oil & Gas Integrated

ITV (ITV)*
Yield: 5.97%
Industry: Broadcasting – Television

National Grid (NG.)
Yield: 5.84%
Industry: Utilities

Rio Tinto (RIO)
Yield: 5.83%
Industry: Industrial Metals & Mining

GlaxoSmithKline (GSK)
Yield: 5.55%
Industry: Drug Manufacturer

Land Securities (LAND)*
Yield: 5.52%
Industry: REIT Retail

 

The original version of this article was published in September 2013. The data has changed significantly since then and has been updated accordingly, most recently on January 29, 2019.

Source: Morningstar Direct

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Securities Mentioned in Article

Security NamePriceChange (%)Morningstar
Rating
BP PLC544.70 GBX-0.22
British American Tobacco PLC2,803.50 GBX-1.96
BT Group PLC205.20 GBX-1.82
Centrica PLC91.10 GBX-0.48
Direct Line Insurance Group PLC323.80 GBX-0.22
GlaxoSmithKline PLC1,593.80 GBX-0.09
Imperial Brands PLC1,872.80 GBX-1.59
ITV PLC107.35 GBX-0.23
Land Securities Group PLC840.40 GBX-0.54
Legal & General Group PLC269.10 GBX0.75
Marks & Spencer Group PLC214.20 GBX-3.60
Pearson PLC821.60 GBX-1.01
Rio Tinto PLC4,847.50 GBX-0.62
Royal Dutch Shell PLC B2,554.50 GBX0.06
SSE PLC1,113.71 GBX-1.09
Standard Life Aberdeen PLC278.95 GBX0.70
Vodafone Group PLC126.69 GBX-1.93
WPP PLC984.00 GBX-0.30

About Author

Emma Wall

Emma Wall  is Senior International Editor for Morningstar

Audience Confirmation


By clicking 'accept' I acknowledge that this website uses cookies and other technologies to tailor my experience and understand how I and other visitors use our site. See 'Cookie Consent' for more detail.

  • Other Morningstar Websites