Are you looking for some data about the top paying dividend stocks in the Philippines? What are the things should you consider when choosing a dividend stock?
One way to earn money from stock investing is through dividends. Another one is through price appreciation of the stock you own. In this post, I would like to list the highest dividend paying stocks in the Philippines for 2012.
What is Dividend and Dividend Yield?
Dividend is a way of the company to share profit to their investors and stockholders. Normally, the dividend is in the form of cash directly credited to the stock account of the investor. Sometimes, the company may choose to pay dividends in the form of shares that will be added automatically to the portfolio of the stockholder.
Dividend yield, on the other hand, is the percentage of dividend against the price of stock. Normally, the dividend yield can range from 0.5% to 9% depending on the company.
A company that has a dividend yield more than 5% is a best choice when choosing a dividend stock. However, that kind of stock is not common these days.
Some companies pay dividend in regular basis, once a year or twice a year according to their company policy. In normal situation, the company will announce the dividend payout to their stockholders through a letter that will be sent to the Philippine Stock Exchange (PSE).
Another way that you could be informed is through your online stock broker account. In CitisecOnline, there’s a section in the company details about dividend history. If you will click the tab, several dates will appear like below. This data is for Globe Telecom.
What can you see above? Globe will give P33.50 dividend for its stockholders. However, there’s a condition for this dividend payout. You will only receive the dividend if you buy Globe stock before the Ex-Date and keep it until the Record Date. The date of payment is the Payable which is March 12, 2013.
List of Top 10 Best Dividend Stocks in the Philippines
In the Philippines, some of the companies that pays consistent high dividend yield are Philippine Long Distance Telephone (TEL), Globe Telecom (GLO), Semirara Mining Corporation (SCC) and Manila Electric Company (MER), to name a few.
Anyway, below you can see the list of top 10 highest dividend yield stocks in the Philippines for 2012. If you are newbie in the stock market, selecting a stock that pays high dividend can be one of the best strategies that you can follow.
|Stock||Dividend Yield in 2012, %|
|1. Globe Telecom (Symbol: GLO)||6.3|
|2. Philippine Long Distance Telephone (Symbol: TEL)||5.9|
|3. Semirara Mining Corporation (Symbol: SCC)||4.3|
|4. Manila Electric Company (Symbol: MER)||3.4|
|5. GMA Network, Inc. (Symbol: GMA7)||3.3|
|6. San Miguel Corporation (Symbol: SMC)||3.1|
|7. Aboitiz Equity Ventures, Inc. (Symbol: AEV)||2.8|
|8. Aboitiz Power Corporation (Symbol: AP)||2.6|
|9. Vista Land & Lifescapes, Inc. (Symbol: VLL)||2.6|
|10. Filinvests Land, Inc. (Symbol: FLI)||2.5|
If you don’t know how to safely and effectively invest in the Philippine stock market because you’re a newbie, investing in the stocks that pays high dividend can be a good strategy. However, you should also study these companies and their past performance if they give consistent and increasing dividend year after year.
I have listed above the stocks that you can invest based on the dividend it pays to its stockholders. For 2012, Globe pays the highest dividend yield among the Philippine stocks.
How do you invest in the stock market? Do you have your own strategy or are you a member of an organization that gives advice on which stock to buy? Could you tell me more about it?