Three dividend stocks to explore in Q1 2023

By - Rishika Raina

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Highlights 

  • In 2023, the total dividend payments from FTSE100-listed firms are projected to reach a fresh record high.
  • The overall dividend payment for the current year is expected to hit £79.1 billion.
  • That would surpass the total of £78.5 billion in 2021.

In 2023, the total dividend payments from FTSE100-listed firms are projected to reach a fresh record high. It is forecasted that investors would receive £85.8 billion, as per AJ Bell. Even though the growth in profits is anticipated to slow down next year, major industries like oil and gas are all set to maintain their robust dividend payouts during the course of 2023.

In the meantime, the overall dividend payment for the current year is expected to hit £79.1 billion. That would surpass the total of £78.5 billion in 2021, but it would be less than the record-high level of £85.2 billion seen in 2018. The dividend mentioned above payout expected in 2022 indicates that 3.8% has been yielded by the FTSE this year.

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Worries about input cost hikes and interest rate hikes, which would, in turn, lead to a surge in the cost of capital, along with the fears of a prolonged recession, are the factors putting pressure on 2022. Despite all of these factors, a huge dividend growth of £3.3 billion will be witnessed by Glencore in 2022. With a figure of £1.2 billion, HSBC holds the second position.

Shell is paying out £6 billion throughout 2022, bouncing back to the highest position for the year, taking total dividend payouts into account.

Kalkine Media® explores the performance of these three LSE-listed dividend-paying stocks.

Glencore plc (LON: GLEN)

The dividend yield offered by the mining giant Glenore on annual basis stood at 1.9% on annual basis as of 30 December. At around 11:50 AM (GMT) on the same day, GLEN shares were down by 0.45%, or 2.50 points, trading at GBX 555.80. At the time of writing, the returns of the company on yearly and YTD (year to date) basis stood at 46.23% and 48.26%. Meanwhile, the FTSE100-listed company’s market cap and EPS (earning per share) stood at £71,591.50 million and 0.38, respectively.

HSBC Holdings plc (LON: HSBA)

The dividend yield offered by the leading UK bank HSBC on annual basis stood at 4.4% on annual basis as of 30 December. At around 11:50 AM (GMT) on the same day, HSBA shares were down by 0.29%, or 1.50 points, trading at GBX 517.30. At the time of writing, the returns of the company on yearly and YTD basis stood at 15.05% and 15.25%. Meanwhile, the FTSE100-listed company’s market cap and EPS stood at £103,595.71 million and 0.62, respectively.

Shell plc (LON: SHEL)

The dividend yield offered by the oil and gas giant on annual basis stood at 3.5% on annual basis as of 30 December. At around 11:50 AM (GMT) on the same day, SHEL shares were down by 0.36%, or 8.50 points, trading at GBX 2,341.00. At the time of writing, the returns of the company on yearly and YTD basis stood at 43.64% and 44.31%. Meanwhile, the FTSE100-listed company’s market cap and EPS stood at £164,590.17 million and 2.59, respectively.