Tuesday, 4 July 2017

Best / High dividend paying stocks in India

Best / High dividend paying stocks in India

(Updated as on April’2017)

Lump Sum Dividend Paid (Rs.Crore)


Investors desire high return on investment. This is the reason why majority focus on capital appreciation. When I ask people to buy stocks for dividend income, they look at me with amazement.
People like capital appreciation more then dividend yield.
Dividend yields of stocks are low compared to potential price appreciation. But remember, price appreciations are never certain. Comparatively, certainty of dividend income is far higher then price growth.
Why champion investors love best dividend paying stocks more? What makes top dividend paying stocks so likeable by champion investors?
High growth rate is a priority for majority, but expert investors likes to have a balance portfolio. Portfolio focusing only on capital appreciation is not good. Inclusion of dividend paying stocks balances their portfolio. Expert investors also loves passive income.
Dividend income is one of the best forms of passive income. People who believes in passive income also loves stocks that pay dividends. Passive income in form of dividend is like an assured income.
Whereas capital appreciation (potential high growth) is not as assured.
For passive income lovers, it is essential to track and buy the highest dividend paying stocks. Not all stocks that pays dividends are best.
Expert investors does not like high dividend paying stocks just for assured income. Potential of dividend income to grow year after year makes it even more likable.