So what are the best small cap dividend stocks with safe payouts? You will get to know if you follow us with reading Insider Monkey’s article that was recently published. If you are planning to consider investing these stocks, it’s a good chance to do so.
In their article they have analyzed the best small-cap dividend stocks to invest in based on that hedge fund sentiment. That’s what they do at Insider Monkey and their flagship strategy has returned 44.2% since February 2016 vs. a 29.6% gain for the S&P 500 index ETF (SPY). Their most recent stock picks, which were disclosed to their subscribers in the middle of February, beat the market by 5 percentage points in the three months that followed and our latest picks were released in the middle of May. They have also provided additional information about the stocks’ annual dividend payouts and share prices as of July 14, 2017, as well as their dividend yields and payout ratios. For the purposes of this list, they have sought out small-cap companies with dividend yields of at least 3%, five-year growth rates of at least 10% annually, and payout ratios of less than 55%. That way, we can be sure that the companies included in this list are good investments with high dividend yields, payout ratios that are low enough to be sustainable, and stock growth rates that have been stellar over the past five years.
Now without a further ado let’s see what Insider Monkey has investigated for us. We have picked three stocks from their list.
The first stock on our list is HCI Group Inc (NYSE:HCI). The annualized five year stock growth rate for HCI Group Inc (NYSE:HCI) is 39.5%. Annual dividend is $1.40, stock price is $46.01, dividend yield is 3.04%, while the payout ratio is 37%. Hedge fund sentiment is 10 hedge funds with $15.3 million in investments. The second stock is Knoll Inc (NYSE:KNL). Annualized five year stock growth rate for Knoll Inc (NYSE:KNL) is 10.8%, the annual dividend is $0.60. Stock price is $19.34, dividend yield is 3.10%, while payout ratio is 35.9%. Hedge fund sentiment is 11 hedge funds with $46.3 million in investments. At last, but not least let’s see the numbers of Maiden Holdings, Ltd. (NASDAQ:MHLD). Annualized five year stock growth rate for Maiden Holdings, Ltd. (NASDAQ:MHLD) is 14%. Annual dividend is $20.60, the stock price is $10.95, dividend yield is 5.48%, while the payout ratio is 48%. Hedge fund sentiment is 12 hedge funds with $31.5 million in investments.
For any further interesting information read Insider Monkey’s article about 10 best small cap dividend stocks with safe payouts.
