Top 5 Dividend paying stocks in India | Dividend stocks - YouTube

Hi, Investors generally prefer to invest in companies that have recently declared dividends to earn an extra income.

So today we will tell you about 5 such companies which have consistently given good dividends to their investors in the last 5 years.

The most critical metric to find out the dividend of any company is the dividend yield.

The annual dividend yield is calculated by dividing the total dividend per share by any company in a year divided by the company's share price.

In today's video, we have considered the average annual dividend yield of the last 5 years and not the 1-year annual dividend yield.

This is because many times it happens that a company has paid a very good dividend in the last 1 year.

But overall the company may not have that good record in terms of paying dividends.

So, we want to tell you about such companies which have been paying consistently for the last 5 years.

In this list, we have considered only those companies which have a Market cap of more than ₹ 5000 crores,

Debt to Equity Ratio less than 1, Net profit margin more than 5%.

We will cover the list in ascending order of 5-year average dividend yield.

That is, the company which has the highest average dividend yield of the last 5 years will be covered at the end.

So let's start with today's dividend alert.

The first company is Vedanta Limited which is involved in the business of Minerals and Oil & Gas.

The average annual dividend yield of the company for the last 5 years is 4.38%.

The company has a PE ratio of 7.67, and a Debt to equity ratio of 0.91.

The company has a Return on equity of 20.42% and a Net profit margin of 17.68%.

In the last 5 years, the company's sales have been compounded at the rate of 6.49%.

The company's share price has increased by 230.56% in the last year.

In the last 5 years, the company has given an annual return of 9.25%.

The other company is NHPC Limited.

This company is engaged in the business of Bulk Power Generation.

The average annual dividend yield of the company for the last 5 years is 4.95%.

The company has a PE ratio of 9.36, and a Debt to equity ratio of 0.71.

The company has a Return on equity of 10.05% and a Net profit margin of 36.94%.

In the last 5 years, the company's sales have been compounded at the rate of 2.92%.

The company's share price has increased by 57.61% in the last year.

In the last 5 years, the company has given an annual return of 3.35%.

The third company is Hindustan Zinc Limited.

This company is involved in the business of mining and smelting zinc-lead.

The average annual dividend yield of the company for the last 5 years is 5.88%.

The company has a PE ratio of 15.60, and a Debt to equity ratio of 0.13.

The company has a Return on equity of 21.26% and a Net profit margin of 34.11%.

In the last 5 years, the company's sales have been compounded at the rate of 9.80%.

The company's share price has increased by 54.03% in the last year.

In the last 5 years, the company has given an annual return of 5.07%.

The fourth company is Coal India Limited.

This company is involved in the mining and production of coal.

The average annual dividend yield of the company for the last 5 years is 8.96%.

The company has a PE ratio of 7.76, and a Debt to equity ratio of 0.16.

The company has a Return on equity of 36.99% and a Net profit margin of 14.11%.

In the last 5 years, the company's sales have decreased by -3.05%.

The company's share price has increased by 54.04% in the last year.

In the last 5 years, the company has given a compounded annual return of -11.78%, i.e, the company has given negative returns.

The fifth company is SJVN LIMITED.

This company is involved in the business of power generation.

Also, the company provides consultancy for hydro-power projects.

The average annual dividend yield of the company for the last 5 years is 9.13%.

The company has a PE ratio of 6.10, and a Debt to equity ratio of 0.17.

The company has a Return on equity of 13.17% and a Net profit margin of 65.82%.

In the last 5 years, the company's sales have decreased by -0.07%.

The company's share price has increased by 32.42% in the last year.

In the last 5 years, the company has given compounded annual returns of -2.76%, i.e, the company has given negative returns.

So these were the 5 companies that pay regular dividends to their investors in the first 5 years.

You can see the names of the five companies, and their 5-year average annual dividend, on the screen.

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We remind you that this video is for educational purposes only and does not suggest any kind of buy or sell.

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Bye-bye.