UK's Top 3 Dividend Stocks To Consider

In This Article:

As the FTSE 100 index experiences fluctuations due to weak trade data from China, investors in the UK market are navigating a landscape marked by global economic uncertainties. In such an environment, dividend stocks can offer a measure of stability and potential income, making them an attractive consideration for those looking to weather market volatility.

Top 10 Dividend Stocks In The United Kingdom

Name

Dividend Yield

Dividend Rating

WPP (LSE:WPP)

6.24%

★★★★★★

Man Group (LSE:EMG)

6.32%

★★★★★☆

4imprint Group (LSE:FOUR)

3.29%

★★★★★☆

Dunelm Group (LSE:DNLM)

8.17%

★★★★★☆

OSB Group (LSE:OSB)

7.77%

★★★★★☆

Grafton Group (LSE:GFTU)

4.30%

★★★★★☆

DCC (LSE:DCC)

3.80%

★★★★★☆

Big Yellow Group (LSE:BYG)

4.93%

★★★★★☆

NWF Group (AIM:NWF)

4.67%

★★★★★☆

James Latham (AIM:LTHM)

7.66%

★★★★★☆

Click here to see the full list of 61 stocks from our Top UK Dividend Stocks screener.

We're going to check out a few of the best picks from our screener tool.

NWF Group

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

Overview: NWF Group plc, with a market cap of £85.80 million, primarily engages in the sale and distribution of fuel oils in the United Kingdom through its subsidiaries.

Operations: NWF Group plc's revenue segments comprise £82.30 million from Food, £204.10 million from Feeds, and £653.10 million from Fuels.

Dividend Yield: 4.7%

NWF Group's dividend strategy appears robust, with stable and reliable payments over the past decade. Despite a lower-than-top-tier yield of 4.67% compared to the UK market's top 25%, dividends are well-covered by earnings (50.1% payout ratio) and cash flows (32.3% cash payout ratio). Recent announcements affirm an unchanged interim dividend, aligning with their strategic focus on sustainable profitability and growth through potential M&A activities, despite a slight decline in recent earnings performance.

AIM:NWF Dividend History as at Mar 2025
AIM:NWF Dividend History as at Mar 2025

Man Group

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

Overview: Man Group Limited is a publicly owned investment manager with a market cap of £2.42 billion.

Operations: Man Group Limited generates revenue primarily from its Investment Management Business, which amounts to $1.43 billion.

Dividend Yield: 6.3%

Man Group's dividend payments are well-supported by earnings (67% payout ratio) and cash flows (32.7% cash payout ratio), with a recent increase to 17.2 cents for 2024. However, the dividend history has been volatile over the past decade, impacting reliability perceptions despite being in the top 25% of UK payers at 6.32%. The company's $100 million share buyback program and disciplined M&A strategy aim to enhance shareholder value alongside progressive dividend growth aligned with earnings expansion.