Investing Blog

Finance Blogs » Investing Blog » 3 stocks with big dividends

3 stocks with big dividends

By Sheyna Steiner ·
Saturday, April 28, 2012
Posted: 8 am ET

What's old is new again, and dividend investing is big news in 2012.

On Monday April 23, Dow Jones Indexes issued a press release announcing that all 30 companies on the Dow Jones Industrial Average index were expected to increase annual dividend payouts by 8.4 percent over last year.

The Dow Jones Industrial Average is made up of 30 companies, most of which manufacture industrial or consumer goods. It was created to represent a snapshot of the stock market and the economy in 1896.

It may not be the best metric of either anymore, but according to this week's press release, 9 of the 10 largest dividend distributions by total estimated payout come from DJIA component companies.

This week, Exxon became the largest dividend payer when it announced an annual dividend payment of $2.28 per share, bringing the dividend yield to 2.6 percent.

It took the top spot from AT&T. The telecommunications stock sports a divided yield of 5.5 percent and an indicated annual dividend payment of $1.76 per share.

General Electric is the third-largest dividend payer with an indicated annual dividend of $7.2 billion, which translates to $0.68 per share annually and a dividend yield of 3.5 percent.

For more on dividend stocks, read the Bankrate feature, "Ride dividend stocks for a regular return" or check out the video, "Dividends offer regular payments."

Get more CD and Investing News with our free weekly newsletter.

Follow me on Twitter.

Bankrate wants to hear from you and encourages comments. We ask that you stay on topic, respect other people's opinions, and avoid profanity, offensive statements, and illegal content. Please keep in mind that we reserve the right to (but are not obligated to) edit or delete your comments. Please avoid posting private or confidential information, and also keep in mind that anything you post may be disclosed, published, transmitted or reused.

By submitting a post, you agree to be bound by Bankrate's terms of use. Please refer to Bankrate's privacy policy for more information regarding Bankrate's privacy practices.