4 dividend-paying stocks ready and waiting to be bought

Earnings income is still a central aim of many portfolios.

| More on:

You鈥檙e reading a free article with opinions that may differ from The Motley Fool鈥檚 Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

News overnight that the European Central Bank (ECB) is preparing to fight low inflation that is hampering the EU鈥檚 recovery by lowering interest rates is a reminder that the global economic recovery is still fragile.

The economic climate in Australia, while certainly not as dire as the EU, is still far from stellar and although expectations suggest that the rate cutting cycle is done, a significant move up in interest rates is probably some time off yet.

Low interest rates are bad news for savers who rely on interest from their bank account for income; however investors who are prepared to buy dividend-paying stocks still have some great choices for securing juicy yields.

AMP Limited (ASX: AMP) is trading on a forecast yield for financial year (FY) 2015 of 5.1%. With a tailwind in financial services and an expected turnaround in wealth protection, the dividend is forecast to rise at a steady clip in FY 2016.

Origin Energy Limited鈥檚 (ASX: ORG) FY 2015 forecast yield of 3.2% might look a little skinny to some, however with the ramp-up of production in LNG projects the dividend is forecast to rise by 28% in FY 2016.

Tabcorp Holdings Limited (ASX: TAH) and Tatts Group Limited (ASX: TTS) control a significant portion of the gaming, wagering and lotteries industry across Australia. One of the beauties of their businesses is the reliability and predictability of their revenues and earnings. In turn this makes the dividends received by shareholders predictable too. Tabcorp and Tatts are current trading on forecast FY 2015 fully franked dividend yields of 4.7% and 5.2% respectively.

Motley Fool contributor Tim McArthur owns shares in Origin Energy Ltd.

More on 鈴革笍 Investing

Close up of baby looking puzzled
Retail Shares

What has happened to the Baby Bunting (ASX:BBN) share price this year?

It's been a volatile year so far for the Aussie nursery retailer. We take a closer look

Read more

woman holds sign saying 'we need change' at climate change protest
ETFs

3 ASX ETFs that invest in companies fighting climate change

If you want to shift some of your investments into more ethical companies, exchange-traded funds can offer a good option

Read more

a jewellery store attendant stands at a cabinet displaying opulent necklaces and earrings featuring diamonds and precious stones.
鈴革笍 Investing

The Michael Hill (ASX: MHJ) share price poised for growth

Investors will be keeping an eye on the Michael Hill International Limited (ASX: MHJ) share price today. The keen interest…

Read more

ASX shares buy unstoppable asx share price represented by man in superman cape pointing skyward
鈴革笍 Investing

The Atomos (ASX:AMS) share price is up 15% in a week

The Atomos (ASX: AMS) share price has surged 15% this week. Let's look at what's ahead as the company build…

Read more

asx share price competitions represented by businessmen arm wrestling
Retail Shares

How does the Temple & Webster (ASX:TPW) share price stack up against Nick Scali (ASX:NCK)?

How does the Temple & Webster (ASX: TPW) share price stack up against rival furniture retailer Nick Scali Limited (ASX:…

Read more

A medical researcher works on a bichip, indicating share price movement in ASX tech companies
Healthcare Shares

The Aroa (ASX:ARX) share price has surged 60% since its IPO

The Aroa (ASX:ARX) share price has surged 60% since the Polynovo (ASX: PNV) competitor listed on the ASX in July.…

Read more

asx investor daydreaming about US shares
鈴革笍 How to Invest

How to buy US shares from Australia right now

If you have been wondering how to buy US shares from Australia to gain exposure from the highly topical market,…

Read more

person reading news on mobile phone
鈴革笍 Investing

Why Fox (NASDAQ:FOX) might hurt News Corp (ASX:NWS) shareholders

News Corporation (ASX: NWS) might be facing some existential threats from its American cousins over the riots on 6 January

Read more