The year 2021 is looking more promising than the previous year amid record disruptions in financial markets, with a growing number of high dividend-yielding stocks as the economic recovery garners momentum.
Despite the record boom in the crypto market, some traditional investors prefer less risky assets, particularly stocks with strong dividend-yield prospects. These stocks come with a history of annual dividend growth, making powerful statements about their financial resilience and commitment to shareholders.
Globally also, many dividend stocks are currently gaining momentum and offering investors a stable option for earning passive income. Here’s a list of Nigerian banks currently posting high dividend yields.
READ: “Don’t deposit more than $5k monthly,” banks inform customers
Zenith Bank Plc
As Nigeria’s most profitable bank, Zenith Bank remains of the Nigerian blue-chip stocks offering a decent dividend yield currently pegged at 13.2%.
Its recently released Q1 2021 unaudited results revealed the tier 1 bank’s profit before tax ticked up by 3.8% to N61 billion. Also, its profit after tax grew by 5% to N53 billion.
Guaranty Trust Bank
GTBank, Nigeria most valuable bank by the market value of N843.2 billion at the time of writing this report currently offers a dividend yield of 10.42%.
Recall the orange-coloured tier 1 bank earlier reported that its total deposit for Q1 2021 grew to N3.717 trillion, representing a 3.0% surge compared to N3.611 trillion recorded in Q1’20.
Mr Segun Agbaje, Managing Director/CEO, Guaranty Trust Bank Plc spoke on the bank’s resilience and prudent approach towards firmer risk management and the efficacy of its digital-first customer-centric business strategy.
Access Bank
Access Bank, a leading tier 1 Nigerian bank also posts a decent dividend yield of about 9.82%.
The bank, presently managed by Mr Herbert Wigwe, recorded decent gross earnings of N222.1 billion, posting a gain of 6% from N202.98 billion posted in the corresponding period of 2020.
Fidelity Bank
The fast-growing Nigerian bank recently astonished market analysts when it posted a profit after tax for Q1’2021 which swelled by nearly two-thirds, with profit before income tax expense surging from N6.85 billion (for the corresponding period of 2020) to N10.13 billion in Q1 2021.
Fidelity presently offers a dividend yield of 9.78%.
Stanbic IBTC Bank
The leading Nigerian bank known for its strong wealth and pension management system currently offers a dividend yield of 8.70%.
Though its most recent result revealed the bank’s profit before tax stood at N12.1 billion in Q1, lower by 50% from N24.4 billion in Q1 2020, recent data from Nigeria’s stock market reveals that investors are increasingly buying the bank’s shares as its share price of N46 is within its 52 weeks high of N53.25.
how can I buy their shares
Check chaka.com
How can someone key into some of these high dividend banks.
@Maxwell, look for a stockbroking firm with good track records and positive customer reviews. Open an account with them after which you will be given a CSCS and Clearing House Number to enable you buy any of the company shares at the secondary market.
@Hassan, I suggest you do a year-on-year dividend trend analysis before you start to invest on these shares to give you a better view of the dividend they may likely declare in the future. If satisfied, then go ahead and buy while noting their year end dates.