3 under-the-radar high-yielding dividend shares to buy today James Mickleboro | January 24, 2017 | More on: FXLJHCMVF
With the big four banks looking a little on the expensive side right now, I believe investors are better off looking elsewhere for their income investments.
For example, there are three high-yielding dividend shares which are flying largely under the radar at the moment which I think could be great options for investors. They are as follows:
In FY 2017 this provider of finance products and payment solutions is expected to provide investors with a fully franked 6.1% dividend according to CommSec. Although the company has posted a few mixed years, I feel confident it has finally found its feet and is positioned for growth. The recent launch of Oxipay could be a key driver of growth in the future. Like Afterpay Holdings Ltd(ASX: AFY) and zipMoney Ltd(ASX: ZML), it allows consumers to make purchases in-store or online and spread the payment over four instalments with zero interest. However, due to its mixed past performance, I would suggest waiting until its half-year update next month before taking the plunge.
This aged care operator’s shares currently provide a trailing fully franked 5.2% dividend. I expect this dividend could grow significantly over the next decade as Australia’s population ages and demand for its beds increases. After its struggles in FY 2016, I am optimistic that FY 2017 will be a different story for shareholders. At its AGM management advised that it forecasts earnings before interest, tax, depreciation, and amortisation growth of 11% this year, and I expect it to deliver on this. As a result, now could be a great time to snap up its shares in my opinion.
This leading fertility specialist which operates under the Monash IVF, MyIVF, Next Generation Fertility and Repromed brands is expected to provide a fully franked 5% dividend over the next 12 months. Although it reported slowing domestic growth in the first quarter, I was pleased to see management still forecasting half-year profit growth of approximately 7%. At under 15x trailing earnings I feel its shares are great value. Especially as the company has significant long-term growth potential from fractured international markets.
Finally, there is a fourth dividend share which I feel all income investors should have in their portfolio. Ten consecutive years of dividend increases make this a no-brainer. Perhaps best of all is that its big yield is available at a great price even today.