Should investors be worried about the top ASX Income Stocks losing the sheen on dividends?

As widely known now, stocks that pay high dividends on a sustainable basis make up a significant part of the ASX Income portfolio as the investors keep on receiving consistent returns of the share market through such stocks. However, the portfolio now seems to have witnessed a jitter with recent developments at individual stock level and macro scenario at large.

The top income stocks on ASX that have been eyed and grabbed by many investors for years, include the big four banks and Telstra, which have recently caught attention with respect to their dividend paying capabilities. These stocks have been said to contribute to about half of the dividends paid in 2017. However, the recent financial performances have led some of these stocks trade on a downswing with dividend cuts being introduced to a large extent. For instance, Telstra has slashed its dividends by about 30% for next year at the back of the earnings hole and competitive landscape. As a result, top shot mining stocks and utilities’ stocks have started looking more appealing to some investors. For instance, BHP Billiton has declared a higher dividend this year and this in a way fills out the gaps made by the likes of Telstra. But at the same time, it is recollected that BHP had cut its dividend by 75% in 2016 at the back of lower than expected financial performance and commodity price movement. Fortescue is another miner that has paid good dividends to the shareholders recently.   

To read the complete report CLICK HERE. To get your free report CLICK HERE


 

 

CLICK HERE

 

The advice given by Kalkine Pty Ltd and provided on this website is general information only and it does not take into account your investment objectives, financial situation or needs. You should therefore consider whether the advice is appropriate to your investment objectives, financial situation and needs before acting upon it. You should seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice) as necessary before acting on any advice. Not all investments are appropriate for all people. Kalkine.com.au and associated websites are published by Kalkine Pty Ltd ABN 34 154 808 312 (Australian Financial Services License Number 425376). The information on this website has been prepared from a wide variety of sources, which Kalkine Pty Ltd, to the best of its knowledge and belief, considers accurate. You should make your own enquiries about any investments and we strongly suggest you seek advice before acting upon any recommendation. Kalkine Pty Ltd has made every effort to ensure the reliability of information contained in its newsletters and websites. All information represents our views at the date of publication and may change without notice. To the extent permitted by law, Kalkine Pty Ltd excludes all liability for any loss or damage arising from the use of this website and any information published (including any indirect or consequential loss, any data loss or data corruption). If the law prohibits this exclusion, Kalkine Pty Ltd hereby limits its liability, to the extent permitted by law to the resupply of services. There may be a product disclosure statement or other offer document for the securities and financial products we write about in Kalkine Reports. You should obtain a copy of the product disclosure statement or offer document before making any decision about whether to acquire the security or product. The link to our Terms & Conditions has been provided please go through them and also have a read of the Financial Services Guide. On the date of publishing this report (mentioned on the website), employees and/or associates of Kalkine Pty Ltd do not hold positions in any of the stocks covered on the website. These stocks can change any time and readers of the reports should not consider these stocks as advice or recommendations.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s