Top 10 stocks paying high dividends on the stock exchange in 2023
Dividends are one of the factors for investors to consider in their stock trading decisions. Stock codes on the list of highest dividend payouts in 2023 include FPT, CMG, CTR, ELC, DHG, IMP, DBD, BWE, TDM, BTP, VSH, PVS, PVD, GAS, PVI, BVH , BMI… Join TOPI to find out which are the top stocks paying high dividends on the Vietnamese stock exchange in the past year!
Dividends are a portion of after-tax profits distributed to shareholders of a joint stock company. Dividend payments are regulated by the Enterprise Law and the company’s charter. According to regulations, the company can only pay dividends from the remaining after-tax profits after fully fulfilling its financial obligations.
Dividends can be paid in cash, stocks or other assets. When a company operates efficiently and generates profits, paying dividends is a way to share those profits with shareholders. Regular and stable dividend payments can attract potential investors to buy a company’s shares. Regular dividend payments help increase the liquidity of a company’s shares, meaning they are easier to buy and sell in the market.
Form of dividend payment:
- Cash dividends: This is the most common form of dividend payment. Shareholders will receive a cash amount corresponding to the number of shares they own.
- Stock dividends: Instead of paying cash, the company can pay dividends by issuing more shares to shareholders. The number of bonus shares is calculated based on the dividend payout ratio and the number of shares each shareholder owns.
- Dividends in other assets: In some cases, the company may pay dividends in other assets, such as real estate or goods.
I. Top 10 stocks paying high dividends on the stock exchange in 2023
In 2023, there were about 370 businesses paying dividends at a rate of 10% or more, most notably, there were 8 businesses paying high dividends at a rate of over 100% (2nd payment). /2022 and 1st installment of 2023), which are:
1. PRC shares hold the throne with a huge dividend ratio of 350%
PRC is the stock code of Portserco Logistics Joint Stock Company that pays dividends at a rate of 350% (equivalent to 1 share receiving 35,000 VND). PRC shares are currently trading at 22,000 VND – 24,000 VND/share, a quite cheap price for investors to buy.
By the end of 2023, PRC’s net revenue will be nearly 101 billion VND, business management costs will be reduced, however, reduced revenue and 17% increase in selling costs will put pressure on profits. company profits.
On the stock market, from the huge dividend event, PRC stock prices have increased sharply. After a quiet period in the second half of 2023, PRC stocks are now showing signs of active trading again.
2. BMP shares pay dividends at a rate of 118%
For 4 consecutive years from 2020 – 2023, Binh Minh Plastics (BMP) has maintained a dividend rate of over 100%, and forecasts that high dividend payments will continue until 2025. In 2023, BMP recorded revenue Net profit reached 5,157 billion VND, although it decreased compared to 2022, net profit reached 1,041 billion VND, an increase of 1.5 times that of the previous year, also the highest profit in the operating history of this unit.
BMP stock price ended the trading session on April 17, 2024 at 113,200 VND. If the company maintains a 100% dividend, the current dividend/market price ratio of BMP shares is equivalent to 9%, higher than the savings interest rate.
3. CAV stock with dividend payout of up to 140%
CAV shares of Vietnam Electric Cable Joint Stock Company are likened to the “chicken that lays golden eggs” for Gelex Group. CAV has paid a total of 5 cash dividends, including 3 installments in 2022 and 2 installments in 2023 with a total dividend rate of up to 140%.
Cadivi (CAV) is one of the three enterprises with the largest net revenue in the electric wire and cable market in Vietnam, in which, CAV is the unit that maintains the most stable net profit performance, gradually leading the market with 31% share from 2021 – 2023.
Not only does it have the potential to expand domestic operations with civil wire products, medium and low voltage power cables, super heat supply, solar energy cables, airport runway lighting cables, electric charging station cables… CAV also Promote exports to demanding foreign markets such as Canada, USA, Australia, Korea, Japan…
As of mid-April 2023, CAV shares are trading at 69,000 VND – 71,000 VND/share.
4. PAT stock with dividend payout of 197%
Phosphorus Apatite Vietnam (PAT) is also expected to pay dividends in 2024 continuing at a three-digit level, this is a unit under the management of the “giant” Duc Giang Chemical (DGC).
Accumulated in 2023, PAT’s net revenue will reach 1,710.6 billion VND, profit after tax will be 285.6 billion VND, down 45.7% and 70.4% respectively compared to the previous year. The main reason is due to the decline in gross profit margin due to a significant decrease in sales volume. In 2024, PAT targets total revenue of 1,678.54 billion VND, expected profit after tax of 230 billion VND, dividend payout of about 70% and based on the actual situation.
At the end of the trading session on April 17, 2024, PAT shares were trading at 93,500 VND/share.
5. PMC shares with 156% dividend payout
The 156% dividend rate of PMC shares is the result of 5 dividend payments, 3 times in 2023, 2 times in 2022, the dividend payment rate for the 01/2023 period is 80%. Since PMC shares were listed on the stock exchange until now, the unit has mainly paid dividends in cash, and the normal dividend ratio also fluctuates around 20% – 30%.
By the end of 2023, PMC will earn an after-tax profit of 83.6 billion VND, on par with 2022, and revenue from sales and service provision will also increase by 3% compared to the previous year, reaching 485.4 billion VND.
PMC shares in mid-April 2023 are trading around 80,000 VND/share.
6. SLS stock with 150% dividend payout
SLS stock is also considered an extremely potential stock for shareholders and investors of Son La Sugar Joint Stock Company. In 2023, SLS pays cash dividends of 15,000 VND/share, equivalent to 150%, 50% higher than the company’s previous plan.
With an average trading price of around 150,000 VND/share, the dividend yield/market price of SLS stock is about 10%, also much higher than the savings interest rate.
SLS also plans to pay dividends at a rate of 50%/charter capital in the accounting year from July 1, 2023 – June 30, 2024. However, many investors believe that SLS often “modestly” sets plans lower than reality, so the dividend payout ratio will be even higher.
7. FBC shares with 120% dividend
FBC is a stock of Pho Yen Mechanical Joint Stock Company. In 2023, FBC will reach 1,049.7 billion VND, recording a profit growth of 8% compared to the previous year, reaching 71 billion VND in profit after tax. FBC’s revenue target in 2024 is 1,025 billion VND, down 3.5% in 2023 due to forecasts that the general economy will still face difficulties. The enterprise will focus mainly on exporting and assembling replacement parts for domestic motorbikes.
FBC shares in 2023 will pay a new rate of 120%. In particular, the market price of FBC shares is only trading around 3,700 VND/share, shareholders can earn more than 3 times the amount of money they invested.
In addition, there are two businesses that also have large dividend payouts:
8. AVC stock with 96% dividend payout
A Vuong Hydropower holds charter capital of more than 750 billion VND, with the largest shareholder being Power Generation Corporation 2 (a subsidiary of EVN) with a capital of 87.45%. AVC’s total dividend payout ratio in 2023 through 3 installments is 70.65% cash, which can be said to be the highest record level ever for this business. Thus, with the number of 75 million outstanding shares, AVC will spend more than 157 billion VND to pay dividends to shareholders.
Currently, AVC shares are trading at around 58,000 VND/share (as of mid-April 2024).
9. DP3 stock with 80% dividend
DP3 is a stock of Central Pharmaceutical Joint Stock Company 3. With the number of outstanding shares of nearly 21.5 million shares, DP3 will spend more than 64 billion VND for the 2023 share tranche at a rate of 30%, payment time is in July 2024.
In 2023, the net revenue that DP3 will achieve is nearly 410 billion VND. Although it has decreased, net profit will increase at a corresponding rate, reaching 125 billion VND.
DP3’s dividend payout ratio in the past 5 years has always ranged from 50% – 80%, currently, on April 17, 2024, DP3 stock price is at 68,000 VND/share.
10. NCT stock with 80% dividend
NCT stock is the stock code of Noi Bai Cargo Services Joint Stock Company (NCT), main activities in the field of airport cargo services. NCT is one of the leading enterprises in the field of airport cargo services in Vietnam. The company has an extensive customer network, including airlines, import-export companies, and manufacturing enterprises. NCT has a team of professional, experienced staff and a modern equipment system.
In 2023, NCT has net revenue of 701,789 billion VND, gross profit should reach 339,038 billion VND.
NCT has a history of paying regular dividends and a high payout ratio. In 2022, NCT paid a total of 85% of dividends in cash. The dividend payment plan for 2023 is expected to be 80%.
In addition, there are a number of stock codes with high dividends on the market. However, the stock codes were not included in the list by Topi because of the condensed shareholder structure with almost no transactions. The most notable include:
1. Phan Thiet Garment Export Joint Stock Company (UPCoM: PTG) market price 500VND. Expected dividend payment in 2024: 5,000 VND/share (10 times the market price).
2. Hai Phong Burial Service Joint Stock Company (UPCoM: CPH) market price 300VND. Dividend payment 2023: 1848VND/share (6 times the market price).
II. What should you keep in mind when hunting for stocks that pay high dividends on the stock exchange?
Although high dividends are a plus point for the stock you are planning to invest in, more important is the stock’s price growth prospects.
Because, after dividends are paid, the stock price will be adjusted. If the stock price does not increase at that time, it means the investor is at a disadvantage, and sometimes the stock price can even go down.
Another important factor is the business performance growth prospects of the enterprise. Notice that most businesses that pay dividends regularly and at high levels are units that operate effectively during the year, their stocks always maintain a stable level and grow in double digits. For example, FPT stock, over the past decade, FPT shareholders have received dividends from 20% – 50% (including both cash and stocks), in addition, the market price of FPT stock has also increased. With good growth, shareholders and investors enjoy very good yields.
Therefore, if you want to own stocks that pay high dividends of 10% or more, you should consider the prospect of price increase and the operating performance of the business, maybe the investor’s profitability will be satisfactory.
Besides, investors can also choose defensive stocks such as bank stocks. These stocks have high dividend payments, and at the same time, their resistance to the general market is also good. Investors can look at criteria such as: stable business cash flow, low risk and volatile business model, regular dividend payment history, stock price also maintained in a reasonable valuation area. … to choose good stocks.
In addition, stocks in industry groups such as hydropower, thermal power, pharmaceuticals, beverages, sugar cane… can also meet the factors of both paying high dividends and having good prospects in terms of investment. activities and business.
So, above, TOPI has joined you to learn about the top stocks that pay high dividends on the Vietnam stock exchange. However, as noted, choosing investment stocks based only on high dividends is not enough, but you should also evaluate the growth prospects of the stock as well as the operating performance of the business. TOPI wishes you success with your decisions.
