Axis Securities has picked ‘Top Dividend Yield Stocks’ after analysing 1,000 listed companies. They have picked 60 stocks on the basis of market capitalisation. These have been divided into four groups: largecaps, PSU stocks, midcaps, and smallcaps.
Top large-cap stocks with high dividend yield
Vedanta leads the large-cap list with the highest dividend yield at 8% within the Metals & Mining sector, having distributed Rs 35.5 in dividends over the last 12 months. Other significant players in the Metals & Mining industry also feature prominently, with Coal India and Hindustan Zinc both offering a 7% dividend yield. Coal India paid out Rs 26.9, and Hindustan Zinc paid out Rs 29 in dividends over the past 12 months.
The Oil & Gas sector is well-represented by Oil and Natural Gas Corporation (ONGC), which has a 6% dividend yield based on Rs 13.5 in dividends over 12 months, and Gail (India), offering a 4% yield from Rs 7.5 in dividends over 12 months.
Apart from that, the other largecap companies include REC, Power Finance Corporation (PFC), Union Bank of India, Bank of Baroda, Tata Consultancy Services (TCS), HCL Technologies, Wipro, ITC, CG Power and Industrial Solutions, and Bajaj Finance.
Top PSU dividend yielders
The top PSU dividend-yielding stocks include a strong representation from the metals & mining, financials, and Oil & Gas sectors. However, a lot of large-cap stocks do repeat in the list of PSU stocks.
Coal India, NMDC lead the PSU list, both offering an impressive 7% dividend yield. Oil And Natural Gas Corporation (ONGC), Gail (India), REC, Power Finance Corporation (PFC), Canara Bank, Union Bank of India, Bank Of Baroda, National Aluminium Co. (NALCO), and RITES.
Top midcap dividend yielders
NMDC leads the pack of Midcap dividend yielders with a 7% yield, reflecting its strong cash generation from the mining sector. National Aluminium Co. (NALCO), Ashok Leyland, Petronet LNG, Oil India, Hindustan Petroleum, Canara Bank, Bank of India, HUDCO, Hero MotoCorp, Oracle Financial Services Software, Container Corporation, and M&M Financial Services.
Top small-cap dividend-yielding stocks
Leading the list with an impressive 10% dividend yield are PTC India and MSTC. Other than that, the list included Akzo Nobel India, La Opala RG, Castrol India, Allcargo Logistics, Quess Corp, VRL Logistics, Indraprastha Gas, Tamilnad Mercantile Bank, Gateway Distriparks, Nirlon, Sharda Motor Industries, Balmer Lawrie & Co., and MPS.