The Motley Fool

Where to invest your Bank of Queensland dividends today

At some point today eligible Bank of Queensland Limited (ASX: BOQ) shareholders will be paid the regional bank’s fully franked 34 cents per share interim dividend.

Whilst many shareholders will use these funds as a source of income or take advantage of the bank’s dividend reinvestment plan, others may want to reinvest the funds back into the share market.

Here’s where I would reinvest these funds:

CSL Limited (ASX: CSL)

I think that this global biotech giant could be a great place to invest these funds. CSL has been a consistently strong performer over the last decade and I believe it is well-positioned to replicate its success over the next decade. This is due to its growing plasma collection network, quality portfolio of products, lucrative pipeline, and high level of investment in research and development.

REA Group Limited (ASX: REA)

Another option to consider investing the funds into is this property listings company. I have been very impressed at the resilience of the REA Group business model and its ability to deliver strong profit growth even when the housing market was going through its downturn. The good news is that the housing market appears to be improving, which I suspect could lead to an acceleration in REA Group’s earnings growth over the medium term.

Telstra Corporation Ltd (ASX: TLS)

If you’re on the lookout for even more dividends then I think it could be worth considering this telco giant. Earlier this year the company cut its interim dividend to 8 cents per share. If it does the same to its final dividend (which I expect it will), it will mean a fully franked full year dividend of 16 cents per share. This equates to a yield of approximately 4.5% based on its current share price. I think this makes it a good option for income investors, especially given its improving outlook.

Here it is... Our #1 Dividend Share Pick for June

For a brief time, The Motley Fool Australia is giving away some of its most valuable research of the entire year. Simply by clicking the link below, you’re invited to discover our #1 absolute favourite dividend share to potentially profit inside the next 12 months (and beyond).

HINT: This is an ‘under the radar’ company boasting in a mouth-watering combo of GROWTH potential and FULLY FRANKED DIVIDENDS. Yet chances are you don’t know the name or the code. And perhaps you’d like to peek at our full investment analysis too, including all the reasons we expect this company to soar in 2019?

To get your access before it’s too late, simply click below now. Your copy is free, but this valuable report will NOT be available forever...


James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of CSL Ltd. The Motley Fool Australia owns shares of and has recommended Telstra Limited. The Motley Fool Australia has recommended REA Group Limited. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

NEW. Five Cheap and Good Stocks to Buy in 2019…

Our Motley Fool experts have just released a brand new FREE report, detailing 5 dirt cheap shares that you can buy today.

One stock is an Australian internet darling with a rock solid reputation and an exciting new business line that promises years (or even decades) of growth… while trading at an ultra-low price…

Another is a diversified conglomerate trading near a 52-week low all while offering a 2.8% fully franked yield…

Plus 3 more cheap bets that could position you to profit over the next 12 months!

See for yourself now. Simply click the link below to scoop up your FREE copy and discover all 5 shares. But you will want to hurry – this free report is available for a brief time only.