What stock companies pays dividends

Screening Filters & Rationale

1. Market Capitalization ≥ $10 billion:

   • Purpose: Focus on large, stable companies with established operations.
   • Rationale: Larger companies are more likely to have consistent dividend payouts and financial stability.

2. Dividend Yield (TTM) ≥ 3%:

   • Purpose: Identify stocks offering attractive income returns.
   • Rationale: A minimum yield ensures the stock provides a competitive income stream compared to other investments.

3. Dividend Payout Ratio ≤ 75%:

   • Purpose: Ensure dividends are sustainable and not overly consuming profits.
   • Rationale: A lower payout ratio indicates the company retains enough earnings for growth while maintaining dividends.

4. S&P 500 Index Component:

   • Purpose: Limit selection to well-established, blue-chip companies.
   • Rationale: S&P 500 components are typically industry leaders with a history of financial performance and reliability.

5. 5-Year Dividend CAGR ≥ 5%:

   • Purpose: Focus on companies with a strong track record of growing dividends.
   • Rationale: Consistent dividend growth reflects financial health and shareholder commitment.