Top 10 Dividend-Paying Companies in India: Coal India and Oil India Lead the Way

Oil and Natural Gas Corporation (ONGC) among other public sector undertaking (PSU) stocks is part of the top 10 dividend-paying companies, according to domestic brokerage firm Religare Broking.

We have filtered the list of top dividend-paying companies based on their fundamental strength and selected 10 stocks. Investors, interested in dividend income, can consider these stocks for investment,’’ said Religare Broking in its report.

At a dividend yield of 7.7 percent, Coal India tops the list of the highest dividend-paying companies, followed by Oil India at a yield of 6.7 percent. In FY22, Coal India’s dividend per share (DPS) stood at ₹17 and in FY23, the DPS stood at ₹24.3, according to the brokerage.

Here are the top 10 dividend-yield stocks:

Coal India:

At a current market price (CMP) of ₹314, the coal miner gave a dividend yield of 7.7 percent with FY22 DPS at ₹17 and FY23 DPS at ₹24.3

Oil India:

At a CMP of ₹299, the oil explorer gave a dividend yield of 6.7 percent with FY22 DPS at ₹20 and FY23 DPS at ₹14.3

ONGC:

At a CMP of ₹186, the oil major gave a dividend yield of 6 per cent with FY22 DPS at ₹10.5 and FY23 DPS at ₹11.3.

PTC India:

At a CMP of ₹140, the power major gave a dividend yield of 5.6 per cent with FY22 DPS at ₹7.8 and FY23 DPS at ₹7.8

Power Grid Corporation:

At a CMP of ₹202, the PSU gave a dividend yield of 5.3 percent with FY22 DPS at ₹14.8 and FY23 DPS at ₹10.7

Petronet LNG:

At a CMP of ₹200, the PSU gave a dividend yield of 5.0 percent with FY22 DPS at ₹11.5 and FY23 DPS at ₹10

Gujarat State Fertilizers & Chemicals:

At a CMP of ₹200, the chemical major gave a dividend yield of 5 per cent with FY22 DPS at ₹2.5 and FY23 DPS at ₹10.

National Aluminium Company:

At a CMP of ₹92, the PSU gave a dividend yield of 4.9 percent with FY22 DPS at ₹6.5 and FY23 DPS at ₹4.5

Chennai Petroleum Corp:

At a CMP of ₹575, the oil and gas major gave a dividend yield of 4.7 percent with FY22 DPS at ₹2 and FY23 DPS at ₹27

REC:

At a CMP of ₹288, the PSU gave a dividend yield of 4.4 percent with FY22 DPS at ₹15.3 and FY23 DPS at ₹12.6.

The dividend yield is a financial metric that represents the annual dividend payment of a firm as a percentage of its current share price. It is an indicator of the return that investors are earning on their shares.

A dividend yield is calculated by dividing the total dividend paid by the firm over the past year by the current stock price and expressing the result as a percentage.