3 UK Dividend Stocks Yielding Over 4%

The UK market has recently faced challenges, with the FTSE 100 index experiencing a downturn due to weak trade data from China, highlighting the interconnectedness of global economies. In such volatile times, dividend stocks offering yields over 4% can provide investors with a potential source of steady income amidst broader market fluctuations.

Top 10 Dividend Stocks In The United Kingdom

Click here to see the full list of 56 stocks from our Top UK Dividend Stocks screener.

Here's a peek at a few of the choices from the screener.

Bloomsbury Publishing (LSE:BMY)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Bloomsbury Publishing Plc is a global publisher of academic, educational, and general fiction and non-fiction books catering to children, general readers, teachers, students, researchers, libraries, and professionals with a market cap of £404.56 million.

Operations: Bloomsbury Publishing's revenue is primarily derived from its Consumer segment (£256 million), with additional contributions from Non-Consumer - Special Interest (£21.70 million) and Non-Consumer - Academic & Professional (£83.30 million).

Dividend Yield: 3.1%

Bloomsbury Publishing has shown a mixed dividend performance. Despite a recent 5% increase in the total dividend to 15.43 pence per share for 2024/25, its dividends have been volatile over the past decade. The payout is well-covered by earnings and cash flows, with payout ratios of 49.5% and 35.3%, respectively, indicating sustainability despite fluctuating profits. However, its dividend yield of 3.11% remains below the top tier in the UK market.

• Delve into the full analysis dividend report here for a deeper understanding of Bloomsbury Publishing.
• Upon reviewing our latest valuation report, Bloomsbury Publishing's share price might be too pessimistic.

Clarkson (LSE:CKN)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Clarkson PLC offers integrated shipping services across Europe, the Middle East, Africa, the Americas, Asia-Pacific and globally with a market cap of £1.04 billion.

Operations: Clarkson PLC's revenue is primarily derived from its Broking segment at £529.30 million, followed by Support at £65 million, Financial at £42.60 million, and Research at £24.50 million.

Dividend Yield: 3.2%

Clarkson PLC's dividend profile is marked by a recent increase to 77 pence per share, reflecting growth over the past decade. Despite this, its dividends have been historically volatile and unreliable. The payout ratios are favorable, with earnings and cash flows covering dividends at 39.4% and 31.2%, respectively, suggesting sustainability despite a low yield compared to top UK payers. The stock trades below estimated fair value but has experienced high price volatility recently.

• Navigate through the intricacies of Clarkson with our comprehensive dividend report here.
• Insights from our recent valuation report point to the potential undervaluation of Clarkson shares in the market.

Eurocell (LSE:ECEL)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Eurocell plc manufactures, distributes, and recycles PVC building products such as windows, doors, and roofline components in the United Kingdom and the Republic of Ireland with a market capitalization of £153.09 million.

Operations: Eurocell plc's revenue is primarily generated from its Profiles segment, contributing £209.80 million, and its Building Plastics segment, which adds £212.30 million.

Dividend Yield: 4.1%

Eurocell plc's dividend profile features a recent increase to 3.85 pence per share, with total dividends rising to 6.1 pence for the year, indicating growth over the past decade despite historical volatility. The payout ratios are sustainable, with earnings and cash flows covering dividends at 61.8% and 18.3%, respectively. However, its yield of 4.05% remains below top UK payers' levels. Eurocell's shares trade significantly below estimated fair value amidst ongoing share repurchase efforts aimed at enhancing earnings per share.

• Dive into the specifics of Eurocell here with our thorough dividend report.
• In light of our recent valuation report, it seems possible that Eurocell is trading behind its estimated value.

Taking Advantage

• Delve into our full catalog of 56 Top UK Dividend Stocks here.
• Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
• Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.

Contemplating Other Strategies?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.