National Australia Bank is one of the top dividend stocks I think are worth considering today. Dividend stocks are a great way to hedge your portfolio as they provide both steady income and cushion against market risks. Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. I’ve made a list of other value-adding dividend-paying stocks for you to consider for your investment portfolio.

National Australia Bank Limited (ASX:NAB)

National Australia Bank Limited provides financial services to individuals and businesses in Australia, New Zealand, Asia, the United States, and the United Kingdom. Established in 1834, and headed by CEO Andrew Thorburn, the company employs 33,422 people and has a market cap of AUD A$79.58B, putting it in the large-cap group.

NAB has a sumptuous dividend yield of 6.66% and the company has a payout ratio of 86.77% . Dividends per share have increased during the past 10 years, but there have been a couple hiccups. However, they have historically always picked up again.

Sonic Healthcare Limited (ASX:SHL)

Sonic Healthcare Limited, a healthcare company, provides medical diagnostic services, and administrative services and facilities to medical practitioners. The company provides employment to 33000 people and with the market cap of AUD A$9.18B, it falls under the mid-cap group.

SHL has a decent dividend yield of 3.54% and their current payout ratio is 75.01% . The company’s DPS have increased from $0.46 to $0.77 over the last 10 years. Much to the delight of shareholders, the company has not missed a payment during this time.

Bendigo and Adelaide Bank Limited (ASX:BEN)

Bendigo and Adelaide Bank Limited provides banking and financial services in Australia. Founded in 1858, and currently run by Michael Hirst, the company employs 4,413 people and has a market cap of AUD A$5.45B, putting it in the mid-cap category.

BEN has a enticing dividend yield of 6.04% and pays out 74.78% of its profit as dividends , with analysts expecting the payout ratio in three years to be 79.07%. Although investors would have seen a few years of reduced payments, it has so far always picked up again, with dividends increasing from $0.58 to $0.68 over the past 10 years. Bendigo and Adelaide Bank’s earnings per share growth of % over the past 12 months outpaced the AU Banks industry’s average growth rate of 0.00551%.

For more solid dividend payers to add to your portfolio, you can use our free platform to explore our interactive list of top dividend payers.
To help readers see pass the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned.