Best ASX Dividend Stocks

Generate Income with a consistent dividend yield

50% of our Small Cap stocks pay dividends giving you income + growth.

Our top 3 Dividend Paying stocks

Dividends give you regular income.

CBA 20 year chart_Nov 24

GR ENGINEERING (GNG): yield 11.2%

CONTRACTOR:
Market Capitalisation: $282.9M
Current Price: $1.685

SOLVAR (SVR): yield 9.0%

LENDER
Market Capitalisation: $243.7M
Share Price: $1.215

NAB 20 year chart_Nov 24

NZME (NZM): yield 8.2%

MEDIA
Market Capitalisation: $168.4M
Share Price: $0.94

Find out the top dividend paying asx stocks and research now

Which shares are best for paying dividends?

Blue Chips vs Small Caps

The top ASX companies all pay dividends. These are the quality companies that will be the bedrock of your core portfolio.

In our Blue Chip report we have hand picked 40 of the best dividend stocks also targeting growth. The highest dividend yield is a very healthy 9.5%.

We advise that up to 50% of your share portfolio should be invested in a number of quality big market cap stocks not only for their dividend return but also as they can be a relatively safe investment (but all stocks can go up and down so watch them!).

Don’t ignore small caps! Build out your portfolio with some top quality Australian companies that are still small, but still growing fast. 50% of our small caps pay dividends, proving their earnings potential.

Does size matter?

The company’s size shows investors where it is in the growth cycle. Smaller companies tend to grow faster which means the share price can rise faster too.

The best dividend stocks you’ve never heard of!

Small Caps are cheap to buy, give you capital growth and are all about their future performance. But half of them pay dividends too!

Our results speak for themselves

Our small cap stocks have delivered.

$10,000

Invest $1,000 into our Top 10 performers to bank

+1%

Average Return from Best Buys List

+1%

Average return from all 300+ Small Caps

Best Blue Chip Dividend Stocks of 2024

Ready to grow a strong portfolio with fast-growing stocks?

Dive into our comprehensive sector analysis of the market leaders in large cap stocks. From consumer staples to household names we focus on growth stocks with a big market cap.

Turn
$1000
Into:

Small Cap
Tip
Price
Market 
Price
Return
%
Afterpay (APT)
$2.51
$2.51
1.1%
$1,000
Paladin Energy (PDN)
$0.42
$0.42
1.1%
$1,000
Northern Star (NST)
$0.83
$0.83
1.1%
$1,000
Nick Scali (NCK)
$1.40
$1.40
1.1%
$1,000
Macquarie Telecom (MAQ)
$8.15
$8.15
1.1%
$1,000
Pilbara Minerals (PLS)
$0.32
$0.32
1.1%
$1,000

3 lessons for dividends

Re-invest your diviends

If you reinvest dividends this will work to supercharge your returns over the long-term. Albert Einstein is rumoured to have said that compound interest is the eighth wonder of the world, but we doubt this. Even so, you can see its effect when you reinvest dividends.

If you invested $1000 and achieved an 8% annual return every year over forty years, made up of 3% dividends and 5% capital gain, this would have appreciated to $21,720 with re-invested dividends and $7,040 without re-investment.

Is bank interest better?

Try finding a term deposit that has a rate for 2.5-4.5% where your money is not locked up. You can’t get 2% from a govt bond. Even if you do, you’re taking price risk. Inflation kills the value of your money over time.

Dividends vs Balance Sheet

A strong balance sheet is most important. We have invested in a number of companies (including two in media and one in contracting) that made efforts to repair their balance sheets by forgoing dividends. These companies subsequently delivered great cash flow.

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FAQs

Growth is important because you want your investment portfolio to grow. Big Companies grow but often at a much smaller rate.

For small companies, it is much easier to double, or triple their current stock price because they are so much smaller to start with.

14.29% from Latitude Group (LFS), Whitehaven coal pays 13.98%.

The ASX 100 are known for the steady income stream and consistent yield.

We recommend 40 of the best across each sector in Blue Chip Value Report and these are the top dividend stocks.

These Australian companies include:
Fortescue Metals Group Ltd $FMG
BHP Group Limited $BHP
Commonwealth Bank $CBA
Macquarie Bank $MGQ
Australian, and New Zealand Banking Group. $ANZ

It’s the financial ratio that helps you gauge how much income your shares will generate.

Simply its the annual dividend paid/price per share.

Our Blue Chip stocks have price targets based on Value Price Target methodology. We have two investment models that rely on each company’s investment fundamentals and consensus forecasts for earnings growth and dividend payments. They are also based on long-standing and validated valuation theory principles.

We also give you a neat summary covering the key investment metrics on over 40 top stocks, which includes the price target, expected 12-month return (target opportunity), our Radar Rating, and comment.

From valuation theory practicalities that make the Blue Chip Value Model work, it provides a great base from which to generate price targets to help you manage your Share portfolio and to find buying opportunities.

In Australia, this is a tax benefit to investors.

The pre-payment of tax by companies is recorded and later credited to the shareholders when they submit their own personal income tax returns.