Why Qilu Expressway's Dividend Disappoints And One Stock That Excels
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Dividend-paying stocks often draw investors looking for reliable income streams. However, stability in these payouts is crucial; companies like Qilu Expressway, with a history of dividend cuts, pose questions about the sustainability of their dividends. In this article, we will explore why such inconsistencies can be a red flag for investors and highlight another stock that demonstrates more dependable dividend performance.
Top 10 Dividend Stocks In Hong Kong
| Name | Dividend Yield | Dividend Rating |
| CITIC Telecom International Holdings (SEHK:1883) | 9.37% | ★★★★★★ |
| China Construction Bank (SEHK:939) | 7.76% | ★★★★★☆ |
| Chongqing Rural Commercial Bank (SEHK:3618) | 7.77% | ★★★★★☆ |
| S.A.S. Dragon Holdings (SEHK:1184) | 8.86% | ★★★★★☆ |
| China Electronics Huada Technology (SEHK:85) | 8.20% | ★★★★★☆ |
| International Housewares Retail (SEHK:1373) | 9.18% | ★★★★★☆ |
| Bank of China (SEHK:3988) | 6.54% | ★★★★★☆ |
| China Mobile (SEHK:941) | 6.14% | ★★★★★☆ |
| Sinopharm Group (SEHK:1099) | 4.25% | ★★★★★☆ |
| Tian An China Investments (SEHK:28) | 4.94% | ★★★★★☆ |
Click here to see the full list of 90 stocks from our Top Dividend Stocks screener.
Let's explore one of the standout options from the results in the screener and examine one not meeting the grade.
Top Pick
China Resources Land
Simply Wall St Dividend Rating: ★★★★★☆
Overview: China Resources Land Limited operates as an investment holding company focused on the investment, development, management, and sale of properties across the People's Republic of China, with a market capitalization of approximately HK$199.31 billion.
Operations: China Resources Land Limited generates revenue primarily from its development property business at CN￥212.34 billion, followed by its investment property business at CN￥23.07 billion, eco-system elementary business at CN￥17.11 billion, and asset-light management business at CN￥13.59 billion.
Dividend Yield: 5.5%
China Resources Land Limited demonstrates a strong dividend profile with a stable history of dividend payments over the past decade and a recent increase declared on June 7, 2024. Its dividends are well-covered by earnings, with a payout ratio of 32.8%, and cash flows, evidenced by a cash payout ratio of 22.3%. However, its dividend yield of 5.47% is below the top quartile in Hong Kong's market at 8.02%. Recent debt financing may raise concerns about leverage but reflects strategic capital management for short to medium-term obligations.
One To Reconsider
Qilu Expressway
Simply Wall St Dividend Rating: ★★☆☆☆☆