27 Dividend Stocks Delivering Strong Income

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 |  Includes: AZN, CTL, DUK, E, EPD, ETP, KMP, LLY, MO, NGG, NLY, NOK, ORAN, RAI, SAN, SCCO, SDRL, T, TEF, TI, VIV, VOD, VZ, WBK, WPZ, YPF
by: Insider Monkey

In our recent study we have shown that the average return of high dividend yielding stocks was 13.04% between 1927 and 2009. The dividend stocks beat the overall market by an average of 1.36% per year during this period.

We compiled a list of 27 large cap companies with tremendous market capitalization that also regularly pay fat dividend checks. All companies in this list have a market capitalization above $10 billion and dividend yield of at least 5.0%. These 27 stocks returned 20.3% (including dividends) during the past 12 months, beating government bonds by a large margin.

Stock

Yield
(%)

Recent Price (USD)

Annaly Capital Management, Inc. (NYSE:NLY)

14.3%

18.05

France Telecom SA (ADR) (FTE)

10.1%

19.39

Telecomunicacoes de Sao Paulo SA (ADR) (NYSE:VIV)

9.8%

28.38

Nokia Corporation (ADR) (NYSE:NOK)

9.4%

5.8

Telefonica S.A(ADR). (NYSE:TEF)

9.0%

21.89

SeaDrill Limited (NYSE:SDRL)

8.4%

34.32

Energy Transfer Partners LP (NYSE:ETP)

7.4%

48.18

YPF SA (ADR) (NYSE:YPF)

7.4%

42.98

CenturyLink, Inc. (NYSE:CTL)

7.4%

39.31

Westpac Banking Corporation (ADR) (NYSE:WBK)

6.9%

112

Telecom Italia S.p.A. (ADR) (NYSE:TI)

6.9%

11.78

Banco Santander, S.A. (ADR) (STD)

6.3%

10.2

Eni S.p.A. (ADR) (NYSE:E)

6.2%

43.32

Kinder Morgan Energy Partners LP (NYSE:KMP)

6.1%

73.14

National Grid plc (ADR) (NYSE:NGG)

6.0%

48.47

Southern Copper Corporation (NYSE:SCCO)

5.7%

34.17

Altria Group, Inc. (NYSE:MO)

5.7%

26.9

Vodafone Group Plc (ADR) (NASDAQ:VOD)

5.6%

25.9

AT&T Inc. (NYSE:T)

5.6%

30.77

Enterprise Products Partners L.P. (NYSE:EPD)

5.5%

42.83

Reynolds American, Inc. (NYSE:RAI)

5.4%

37.34

Verizon Communications Inc. (NYSE:VZ)

5.3%

37.09

Eli Lilly & Co. (NYSE:LLY)

5.2%

37.49

AstraZeneca plc (ADR) (NYSE:AZN)

5.2%

49.34

Progress Energy, Inc. (PGN)

5.2%

48.09

Duke Energy Corporation (NYSE:DUK)

5.1%

19.12

Williams Partners L.P. (NYSE:WPZ)

5.1%

54.59

Click to enlarge

1. Annaly Capital Management is a real estate investment trust and provides ownership, management and financing for a portfolio of investment securities. NLY recently traded at $18.05 and has a 14.3% dividend yield. NLY gained 14.1% during the past 12 months. The stock has a market cap of $14.8 billion and P/E ratio of 7.3. Charles Clough’s Clough Capital Partners had $29 million invested in NLY shares (here is Charles Clough’s top holdings).

2. France Telecom is one of the leading communications companies in the world. FTE recently traded at $19.39 and has a 10.1% dividend yield. FTE gained 10.9% during the past 12 months. The stock has a market cap of $52.2 billion and P/E ratio of 9.7.

3. Telecomunicacoes de Sao Paulo is a communications company in Brazil. VIV recently traded at $28.38 and has a 9.8% dividend yield. VIV gained 49.7% during the past 12 months. The stock has a market cap of $14.5 billion and P/E ratio of 9.85.

4. Nokia Corporation manufactures and sells mobile devices worldwide. Nokia is the one of the world's leading mobile phone suppliers. NOK recently traded at $5.8 and has a 9.4% dividend yield. NOK lost 28% during the past 12 months. The stock has a market cap of $21.1 billion and P/E ratio of 8.1. David Einhorn mentioned Nokia at the Ira Sohn Conference and said, “Nokia is still the global market share leader in cell phones. Maybe it will work out, but this is hard to envision great success in the area coming on the heels of so much disappointment in missed opportunity in this important and visible category.” (Click here is his speech)

5. Telefonica provides fixed and mobile telephony services worldwide. TEF recently traded at $21.89 and has a 9% dividend yield. TEF gained 13.2% during the past 12 months. The stock has a market cap of $102 billion and P/E ratio of 7.1.

6. Seadrill Limited is an offshore drilling contractor. SDRL recently traded at $34.32 and has a 8.4% dividend yield. SDRL gained 73.2% during the past 12 months. The stock has a market cap of $16.3 billion and P/E ratio of 8.5.

7. Energy Transfer Partners provides natural gas operations in the United States. ETP recently traded at $48.18 and has a 7.4% dividend yield. ETP gained 3.4% during the past 12 months. The stock has a market cap of $10.02 billion and P/E ratio of 41.

8. YPF Sociedad Anonima is an energy company operating in Argentina. YPF recently traded at $42.98 and has a 7.4% dividend yield. YPF gained 18% during the past 12 months. The stock has a market cap of $17.1 billion and P/E ratio of 11.7.

9. CenturyLink is an integrated communications company. CTL recently traded at $39.31 and has a 7.4% dividend yield. CTL gained 21% during the past 12 months. The stock has a market cap of $23.3 billion and P/E ratio of 13.

10. Westpac Banking Corporation provides banking and financial services. WBK recently traded at $112 and has a 6.9% dividend yield. WBK gained 20% during the past 12 months. The stock has a market cap of $67.84 billion and P/E ratio of 8.9.

11. Telecom Italia provides telecommunications and media services. TI recently traded at $11.78 and has a 6.9% dividend yield. TI gained 0.9% during the past 12 months. The stock has a market cap of $23.6 billion and P/E ratio of 5.5.

12. Banco Santander provides banking and financial products. STD recently traded at $10.2 and has a 6.3% dividend yield. STD lost 15.8% during the past 12 months. The stock has a market cap of $92 billion and P/E ratio of 8.

13. Eni is one of the leading integrated energy companies in the world. E recently traded at $43.32 and has a 6.2% dividend yield. E gained 14.2% during the past 12 months. The stock has a market cap of $79.7 billion and P/E ratio of 8.6.

14. Kinder Morgan Energy Partners is one of the largest pipeline transportation and energy storage companies in the United States. KMP recently traded at $73.14 and has a 6.1% dividend yield. KMP gained 14.5% during the past 12 months. The stock has a market cap of $23.3 billion and P/E ratio of 42.9.

15. National Grid is an international provider of energy delivery services. NGG recently traded at $48.47 and has a 6% dividend yield. NGG gained 34.1% during the past 12 months. The stock has a market cap of $34.37 billion and P/E ratio of 9.7.

16. Southern Copper Corporation provides mining, smelting and refining mineral properties in South America. SCCO recently traded at $34.17 and has a 5.7% dividend yield. SCCO gained 18.8% during the past 12 months. The stock has a market cap of $30.3 billion and P/E ratio of 18.36.

17. Altria Group provides cigarettes, smokeless products and wine worldwide. MO recently traded at $26.9 and has a 5.7% dividend yield. MO gained 33.9% during the past 12 months. The stock has a market cap of $56.2 billion and P/E ratio of 13.9.

18. Vodafone provides mobile communications worldwide. VOD recently traded at $25.9 and has a 5.6% dividend yield. VOD gained 22.3% during the past 12 months. The stock has a market cap of $134.3 billion and P/E ratio of 10.8.

19. AT&T provides telecommunication services worldwide. T recently traded at $30.77 and has a 5.6% dividend yield. T gained 30.5% during the past 12 months. The stock has a market cap of $183 billion and P/E ratio of 8.8.

20. Enterprise Products Partners provides midstream energy services in North America. EPD recently traded at $42.83 and has a 5.5% dividend yield. EPD gained 22.3% during the past 12 months. The stock has a market cap of $36.14 billion and P/E ratio of 28.09.

21. Reynolds American provides cigarette and other tobacco products in the United States. RAI recently traded at $37.34 and has a 5.4% dividend yield. RAI gained 43.2% during the past 12 months. The stock has a market cap of $21.7 billion and P/E ratio of 15.8.

22. Verizon provides communication services. VZ recently traded at $37.09 and has a 5.3% dividend yield. VZ gained 45.5% during the past 12 months. The stock has a market cap of $104.5 billion and P/E ratio of 29.55.

23. Eli Lilly and Company provides pharmaceutical products worldwide. LLY recently traded at $37.49 and has a 5.2% dividend yield. LLY gained 12.3% during the past 12 months. The stock has a market cap of $42 billion and P/E ratio of 8.54.

24. AstraZeneca is a global pharmaceutical and biologics company. AZN recently traded at $49.34 and has a 5.2% dividend yield. AZN gained 4.7% during the past 12 months. The stock has a market cap of $68.72 billion and P/E ratio of 8.7.

25. Progress Energy is a utility holding company in the United States. PGN recently traded at $48.09 and has a 5.2% dividend yield. PGN gained 24.3% during the past 12 months. The stock has a market cap of $14.1 billion and P/E ratio of 16.5.

26. Duke Energy is an energy company. DUK recently traded at $19.12 and has a 5.1% dividend yield. DUK gained 19.8% during the past 12 months. The stock has a market cap of $25.3 billion and P/E ratio of 18.2.

27. Williams Partners is an integrated natural gas company. WPZ recently traded at $54.59 and has a 5.1% dividend yield. WPZ gained 28% during the past 12 months. The stock has a market cap of $16 billion and P/E ratio of 16.8. Jean-Marie Eveillard and Jim Simons are the top two investors in WPZ (Check out Jim Simons’ high dividend picks).

Disclosure: I am long CTL, VOD, T.