Top US Dividend Stocks To Consider In October 2024

As the U.S. stock market experiences a surge, with the S&P 500 and Nasdaq climbing on the back of large-cap tech gains and falling oil prices, investors are keenly observing how these dynamics impact broader economic conditions. In such an environment, dividend stocks can offer stability and consistent income, making them an attractive option for those looking to balance growth potential with reliable returns.

Top 10 Dividend Stocks In The United States

Click here to see the full list of 184 stocks from our Top US Dividend Stocks screener.

Here’s a peek at a few of the choices from the screener.

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Hanmi Financial Corporation, with a market cap of $567.16 million, operates as the holding company for Hanmi Bank, offering business banking products and services in the United States.

Operations: Hanmi Financial Corporation generates revenue of $237.49 million from its financial services segment.

Dividend Yield: 5.3%

Hanmi Financial offers a dividend yield in the top 25% of U.S. payers, with a payout ratio of 45.3%, indicating dividends are well covered by earnings. However, its dividend history has been volatile over the past decade, despite recent growth. The company declared a US$0.25 per share dividend for Q3 2024 and completed a share buyback worth US$2.73 million. Trading at 41% below estimated fair value suggests potential relative value compared to peers and industry standards.

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Cullen/Frost Bankers, Inc. is the bank holding company for Frost Bank, offering commercial and consumer banking services in Texas with a market cap of approximately $7.26 billion.

Operations: Cullen/Frost Bankers, Inc. generates revenue from three main segments: Banking ($1.77 billion), Frost Wealth Advisors ($193.09 million), and Non-Banks (-$15.52 million).

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Dividend Yield: 3.3%

Cullen/Frost Bankers offers a reliable dividend yield of 3.35%, though it falls short compared to the top 25% in the U.S. market. Its dividends have grown steadily over the past decade, supported by a low payout ratio of 44.8%. Recent earnings showed net income declines despite stable net interest income growth. The company increased its quarterly dividend by 3.3% and completed a share buyback worth US$29.96 million, enhancing shareholder returns amidst valuation concerns at trading below fair value estimates.

Simply Wall St Dividend Rating: ★★★★★☆

Overview: First Horizon Corporation operates as the bank holding company for First Horizon Bank, offering a range of financial services, with a market cap of approximately $8.38 billion.

Operations: First Horizon Corporation’s revenue is primarily derived from its Regional Banking segment, which contributes $2.46 billion, and its Specialty Banking segment, which adds $721 million.

Dividend Yield: 3.9%

First Horizon’s dividend yield of 3.88% is stable and reliable, with a low payout ratio of 49.4%, ensuring coverage by earnings both currently and in the future. Despite a decline in profit margins from last year, dividends have consistently grown over the past decade. Recent activities include declaring quarterly dividends on common and preferred stock, alongside completing significant share buybacks worth US$366.3 million, reflecting efforts to enhance shareholder value amidst valuation concerns trading below fair value estimates.

Summing It All Up

• Delve into our full catalog of 184 Top US Dividend Stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NasdaqGS:HAFC NYSE:CFR and NYSE:FHN.

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