- Due to COVID-19-related disruptions, many companies slashed their dividend amounts
- However, with a gradual recovery, many companies have resumed dividend payments
- Some technology companies have also paid good dividends to their shareholders
Technology companies performed well in last two years, as technology took centre stage during COVID-19-induced lockdowns. However, of late, tech stocks have been down due to an uncertain economic environment. Rising interest rates and geopolitical tensions are prompting investors to go for less volatile and safe investment options. Risk-averse investors are opting for dividend-paying companies. Several technology companies reward their shareholders with good dividend payouts.
Let’s look at three such companies in the technology space.
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Scott Technology Limited (NZX:SCT)
SCT is a diversified technology company that designs and manufactures advanced automation systems and robotic production lines to improve productivity, reliability and safety for manufacturers. It was established in Dunedin (New Zealand) in 1913. It paid an interim dividend of 4.0 cps on 11 May 2022. The ex-dividend date for it was 27 April and has no imputation credits attached to it. Its Gross dividend yield works out to be 2.65%.
It has a consistent dividend-paying history of two dividends each year.
On 13 May 2022, the stock was trading up 1.33% at NZ$3.05, at the time of writing.
Vector Limited (NZX:VCT)
This NZX-listed network infrastructure-based company is known to offer a diverse portfolio of operations to its clients. The last dividend paid by VCT was 8.25 cps with 0.968 imputation credits. It was paid on 8 April 2022 and the ex-dividend date was 29 March. Despite the COVID-19 crisis, VCT paid regular dividends to its shareholders. The gross dividend yield works out to be 4.53%.
On 13 May 2022, the stock was flat at 4.130, at the time of writing.
Gentrack Group Limited (NZX:GTK)
GTK is an NZ company that offers important software for related services, combining software for related services, combining platforms to provide utilities and airports to reduce service expenditures, etc.
It is a dividend-paying company that paid its last dividend in 2019. The final dividend was 3 cps paid in December of that year. The same year, it paid an interim dividend of 5 cps (on 14 June 2019).
Also Read: GTK, SCT & RAK: Can these NZX growth tech stocks be good options?
On 13 May 2022, the stock was trading up 0.66% at NZ$1. 520, at the time of writing.
Bottom Line: Technology stocks are growth stocks that generally don’t pay dividends. But there are some stocks that reward their shareholders with good payouts.