Top ASX Dividend Stocks To Watch In September 2024
In This Article:
Over the last 7 days, the Australian market has remained flat, although the Materials sector gained 6.9% during that time. With the market up 15% over the past year and earnings forecasted to grow by 12% annually, identifying dividend stocks with strong fundamentals and consistent payouts can be particularly rewarding in these conditions.
Top 10 Dividend Stocks In Australia
| Name | Dividend Yield | Dividend Rating |
| Perenti (ASX:PRN) | 7.44% | ★★★★★☆ |
| Fortescue (ASX:FMG) | 9.82% | ★★★★★☆ |
| Super Retail Group (ASX:SUL) | 6.61% | ★★★★★☆ |
| Collins Foods (ASX:CKF) | 3.24% | ★★★★★☆ |
| Fiducian Group (ASX:FID) | 4.52% | ★★★★★☆ |
| Nick Scali (ASX:NCK) | 4.07% | ★★★★★☆ |
| MFF Capital Investments (ASX:MFF) | 3.61% | ★★★★★☆ |
| Premier Investments (ASX:PMV) | 4.56% | ★★★★★☆ |
| National Storage REIT (ASX:NSR) | 4.28% | ★★★★★☆ |
| Grange Resources (ASX:GRR) | 7.27% | ★★★★☆☆ |
Click here to see the full list of 37 stocks from our Top ASX Dividend Stocks screener.
We'll examine a selection from our screener results.
Fortescue
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Fortescue Ltd engages in the exploration, development, production, processing, and sale of iron ore in Australia, China, and internationally with a market cap of A$59.67 billion.
Operations: Fortescue Ltd generates its revenue primarily from the metals segment, which accounts for $18.13 billion, and the energy segment, contributing $91 million.
Dividend Yield: 9.8%
Fortescue's dividend yield is among the top 25% in the Australian market, but its payments have been volatile over the past decade. Despite a reasonable payout ratio of 71.1% and cash payout ratio of 79.3%, earnings are forecasted to decline by 26.1% annually for the next three years, raising concerns about sustainability. Recent board changes include Dr. Larry Marshall as Lead Independent Director and a decreased ordinary dividend of A$0.89 per security for FY2024.
-
Unlock comprehensive insights into our analysis of Fortescue stock in this dividend report.
-
Our valuation report unveils the possibility Fortescue's shares may be trading at a discount.
Nick Scali
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Nick Scali Limited, with a market cap of A$1.38 billion, sources and retails household furniture and related accessories in Australia, the United Kingdom, and New Zealand.
Operations: Nick Scali Limited generates A$468.19 million from the retailing of furniture.
Dividend Yield: 4.1%
Nick Scali's dividend payments are well-covered by both earnings (68.9% payout ratio) and free cash flows (54.8% cash payout ratio). The company has a history of stable and growing dividends over the past decade, although its current yield of 4.07% is lower than the top 25% in Australia. Recent financial results showed a decline in net income to A$80.61 million from A$101.08 million last year, with diluted EPS dropping to A$0.987 from A$1.248, potentially impacting future payouts.