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Highlights
- Dividend stocks often remain resilient amid economic downturns, thus guaranteeing a steady income flow.
- Livestock Improvement Corporation to pay a special dividend of 10.0 cps in January 2022.
- Underpinned by outstanding financial as well as operational performance, Scales Corporation to pay an impressive dividend next month.
Known for being safe and reliable sources of investments, dividend stocks provide a way for investors to receive income during turbulent market conditions.
Moreover, they provide a cushion to their investors to re-invest the surplus funds, thereby enhancing one's investment portfolio.
That said, let us take a peek at the top NZX dividend stocks worth exploring in 2022.
Source: © 2021 Kalkine Media® data source- EODHD/Others
Livestock Improvement Corporation Limited (NZX:LIC)
The globally acclaimed co-operative in dairy genetics and herd management, Livestock Improvement Corporation Limited, would pay a special dividend of 10.0 cps on 21 January.
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This distribution of special dividend is the first for the co-op, majorly on account of the divestment of its automation business, thus allowing LIC to sharpen its focus on delivering more value on-farm.
Further, the proceeds from the divestment would also be re-invested into the business, thus giving a boost to LIC's R&D projects.
At the closing bell, on 31 December, Livestock Improvement Corporation traded flat at NZ$1.400.
Scales Corporation Limited (NZX:SCL)
Boasting of a diversified agribusiness portfolio, Scales Corporation Limited would offer 9.50 cps as interim dividend, payable on 14 January next month.
Do Read: Which are 5 NZX stocks with the highest monthly returns?
SCL delivered an exceptional financial as well as operational performance in 1H21, which resulted in an increase in its underlying NPAT and EBITDA, up by 15.4% and 11.0%, respectively, on pcp.
Hence, the Company anticipates an enhanced full-year underlying net profit between NZ$32.0 million to NZ$37.0 million.
At the closing bell, on 31 December, Scales Corporation rose by 0.27% at NZ$5.600.
The City of London Investment Trust (NZX:TCL)
The City of London Investment Trust, on 28 February 2022, will pay 4.80 pence per share as an interim dividend.
Owing to improved profits and better performance by its holding companies in the latter half of 2021, TCL demonstrated strength amid the economic recovery and aims for the continuous growth of dividend income for its shareholders.
At the closing bell, on 31 December, The City of London Investment last traded flat at NZ$7.710.
Tower Limited (NZX:TWR; ASX:TWR)
NZ’s famous general insurance provider is Tower Limited. The Company would distribute a final dividend of 2.500 cps on 2 February next year, underpinned by a 72% rise in its full-year profit for FY21, which amounted to NZ$19.3 million.
Also Read: Which 5 NZX dividend stocks under NZ$5 to consider in 2022?
TWR navigated successfully amid the uncertainties and inflationary pressures and is focused on delivering sustainable earnings, dividends, and premium growth.
At the closing bell, on 31 December, Tower was unchanged at NZ$0.73.
Turners Automotive Group Limited (NZX:TRA; ASX:TRA)
Turners Automotive Group Limited is the country’s leading company focusing on automotive retail. On 27 January, the Company would pay its shareholders a Q2 dividend of 5.0cps. Earlier in Q1, too, it paid 5.0 cps as a dividend, thus taking the total HY22 dividend to 10.0 cps.
TRA witnessed a 13% climb in its revenue, amounting to $166.8 million, owing to better-than-expected consumer demand amid L3 lockdowns.
Moreover, it expects the FY22 dividend to be a minimum of 22.0 cps, based on FY22’s forecasted NPBT range of NZ$40 million- NZ$42 million.
At the closing bell, on 31 December, Turners Automotive Group gained by 2.05% at NZ$4.470.
Bottom Line
Dividend stocks are generally considered a safe bet during times of uncertainties, inflationary trends, and other choppy market conditions.