Which are the 4 NZX stocks with good dividend yield?

Highlights

• Investors are on the lookout for stocks with good dividend yields and a decent record of capital appreciation.
• ANZ delivered an annual cash NPAT of $1.9 billion for FY21, up 39% on pcp.
• Contact signed up a PDS for an offer of up to $200 million of green capital bonds.

Auckland, the largest city in New Zealand, is under alert level 3 restrictions while the rest of the country is under alert level 2 curbs to fight the delta variant outbreak. This, in turn, has impacted economic activity and has put pressure on businesses and people.

In such a scenario, investors look for stocks that can provide them with a regular source of income. Dividend stocks can provide investors with an income flow through dividends and capital appreciation of a specific stock over time.

Let’s glance through these 4 dividend stocks that have good dividend yield.

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Australia and New Zealand Banking Group Limited (NZX:ANZ, ASX:ANZ)

ANZ reported a 39% rise in its cash NPAT to $1.9 billion for the 12 months to 30 September 2021. The results showed record demand in the housing market, a substantial decline in provisions for bad debts and a stronger-than-anticipated economic recovery.

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ANZ made $9.3 billion​ in home loans during the year, taking its total home lending to $99 billion​.

ANZ paid an ordinary dividend of $845 million in June 2021.

ANZ ended the day 0.24% in green to close at $29.79.

Contact Energy Limited (NZX:CEN;ASX:CEN)

The largest energy company of NZ, Contact, signed up a PDS for an offer of up to $200 million of green capital bonds to NZ retail and institutional investors on 29 October. The offer is expected to open on 8 November and close on 12 November.

DO READ: Which are the hot 4 NZX Dividend stocks under NZ$10?

Contact paid a final dividend of 21cps on 15 September 2021, taking the full-year dividend for FY21 to be $272 million.

Top NZX Stocks with Good Dividend Yield

Contact also announced that the last day of trading in CEN030 will be 3 November.

CEN ended the day 0.24% in red to close at $8.18.

Chorus Limited (NZX:CNU, ASX:CNU)

Chorus released its annual shareholder meeting speeches and presentation on 27 October. The Group saw a 30% rise in peak-time traffic across the network in over a year. There has also been a surge in upstream traffic while the demand for fibre has stayed strong. Fibre makes 67% of CNU’s connections.

The Group’s strategy is to win in CNU’s core fibre business, optimise non-fibre assets and grow new revenues. CNU paid a final dividend of 14.5cps on 12 October 2021, taking FY21 dividend to 25cps.

CNU ended the day 0.31% in green to close at $6.37. 

Kiwi Property Group Limited (NZX:KPG)

Kiwi Property will release its interim results on 22 November.

KPG paid $27.5 million for 385 Mt Wellington Highway this month. The purchase agreement will be finalised on 24 June 2022.

ALSO READ: How are 5 NZX REIT stocks faring amid falling rents?

KPG paid a final cash dividend of 2.95cps for the six months ended 31 March 2021. The Group anticipates the dividend to be at least 5.3cps next year subject to conditions.

KPG ended the day 1.74% in green to close at $1.17.

Bottom Line

Investors must take note that stocks with higher dividend yield do not always signal attractive investment prospects as a high dividend yield can be due to the falling price of a stock.

(NOTE: Currency is reported in NZ Dollar unless stated otherwise)