RSS FeedDownunder Dogs
Flea-bitten may be a bit harsh for some of these stocks but they are nevertheless this month’s Downunder Dogs – the stocks with the highest dividend yields among the largest 50 companies on the Australian Stock Exchange.
So what qualifies them as dogs? If you make the rather simplistic assumption that dividend levels remain more or less stable, then the dividend yield should rise as the share price falls. So by buying companies with high dividend yields you are buying shares that are out of favour – hence, “dogs”. And why would you want to buy a dog? The theory – based on the US stock-picking system known as the Dogs of the Dow – is that this year's dogs often turn out to be next year's prize pooches. Do you own these puppies?
Table 1.
The stocks with the highest dividend yields among the largest 50 companies on the Australian Stock Exchange
| Code | Company name | Market cap | Dividend yield | Price |
|---|---|---|---|---|
| GPT | GPT Group | $4,546,016,524 | 36.12% | $0.49 |
| BSL | BlueScope Steel | $4,612,943,085 | 19.37% | $2.53 |
| QAN | Qantas Airways | $4,552,898,476 | 17.41% | $2.01 |
| SUN | Suncorp-Metway | $8,424,428,982 | 15.97% | $6.70 |
| SGP | Stockland | $7,590,886,142 | 14.49% | $3.21 |
| MIG | Macquarie Infra. | $3,234,276,829 | 13.99% | $1.43 |
| TCL | Transurban Group | $5,361,613,293 | 13.64% | $4.18 |
| IPL | Incitec Pivot | $3,807,431,982 | 12.48% | $2.38 |
| MAP | Macquarie Airports | $3,970,089,675 | 11.69% | $2.31 |
| LLC | Lend Lease | $3,207,582,875 | 10.98% | $7.01 |
Source: Aspect Huntley.
Table 2.
The stocks with the highest dividend yields among the largest 50 companies on the Australian Stock Exchange (listed property trusts excluded)
| Code | Company name | Market cap | Dividend yield | Price |
|---|---|---|---|---|
| BSL | BlueScope Steel | $4,612,943,085 | 19.37% | $2.53 |
| QAN | Qantas Airways | $4,552,898,476 | 17.41% | $2.01 |
| SUN | Suncorp-Metway | $8,424,428,982 | 15.97% | $6.70 |
| MIG | Macquarie Infra. | $3,234,276,829 | 13.99% | $1.43 |
| TCL | Transurban Group | $5,361,613,293 | 13.64% | $4.18 |
| IPL | Incitec Pivot | $3,807,431,982 | 12.48% | $2.38 |
| MAP | Macquarie Airports | $3,970,089,675 | 11.69% | $2.31 |
| TEL | Telecom NZ | $4,059,368,914 | 10.55% | $2.18 |
| WES | Wesfarmers | $16,460,362,450 | 8.83% | $22.65 |
| NAB | National Aust. Bank | $43,048,218,469 | 8.65% | $22.44 |
Source: Aspect Huntley.
