Coal India, ONGC, Oil India, are among the top PSU stock picks by Religare paying high dividend yields

Coal India , ONGC , OIL India, Power Grid Corporation of India , Petronet LNG, Gujarat State Fertilizers and Chemicals , PTC India , Rites , Gujarat Narmada Valley Fertilizers and Chemicals , Chennai Petroleum Corporation are the top PSU stock picks by Religare Broking paying high dividend yields.

Dividend yield is one of the main factors to consider when investing in dividend paying stocks. It is an indicator of the returns investors are earning on their shares. Religare Broking has filtered the list of top dividend paying companies based on their fundamental strength and selected 10 stocks. Investors interested in dividend income can consider these stocks for investment.

Coal India tops the Religare list with dividend yield of 6.4% based on dividend per share of ₹24.3 in FY23 and ₹17 in FY22. Coal India having strong fundamentals led by strong production and sales volumes outlook also remains amongst picks of other analysts and a strong dividend yield makes it more attractive.

Also Read- Penny stock: Gujarat Toolroom share price skyrockets, gives multibagger return in just 2 years

Coal India is followed by Oil and Natural Gas Corporation and Oil India as the top PSU stocks paying high dividend Yields. The upstream oil and gas producers, ONGC and Oil India offer dividend yield of 5.5% and 5.4% respectively making them attractive investment bets. The expected rise in their production volumes and improved net realisation outlook are the other key reasons keeping other analysts positive on the stocks.

Power Grid Corporation of India with dividend yield of 4.5% is another key dividend yield pick. The strong power demand in the country is also keeping Power Grid stock into focus.

Also Read- Buy or sell: Vaishali Parekh recommends three stocks to buy today — January 4

Petronet LNG in the Oil and Gas space features as another attractive pick with Dividend yield of 4.5%. Petronet LNG in the business if importing liquefied natural gas is to benefit from strong gas demand in the country as international LNG prices too have softened.

Gujarat State Fertilisers and Chemcials, PTC India and Rites with dividend yields of 4.1% are amongst the other key picks by Religare.

Gujarat Narmada Valley Fertilizer and Chemicals and Chennai petroleum Corporation

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decisions