Dividend Stocks: Dividend-paying companies remain a major draw for investors seeking regular income along with long-term stability. A dividend represents a portion of a company’s profits that is distributed to shareholders, typically on a quarterly or annual basis.
One key metric used to assess the attractiveness of a dividend-paying stock is the dividend yield, which is calculated as the annual dividends paid divided by the stock’s current market price. A higher dividend yield generally suggests stronger income potential, though investors also look at profitability, cash flows and sector trends before making a choice.
According to data compiled by Axis Securities, several small-cap names stand out for delivering robust dividend yields. Below are 10 top 10 small-cap dividend stocks with yield over 6%, each demonstrating resilience and income potential.
Let's take a look
1. MSTC – Dividend Yield: 8%
MSTC leads the small-cap list with an impressive 8% dividend yield. With a CMP of ₹479 and total dividends of ₹36.5 distributed over the past year, the company continues to show steady profitability and strong cash flows. In 2025, MSTC announced several payouts, including a ₹4.50 per share third interim dividend (ex-date April 2, 2025) and a large second interim dividend of ₹32 per share in February 2025. Earlier, in 2024, MSTC issued multiple dividends— ₹4 in November, ₹5 in September and ₹5 in February.
2. PTC India – Dividend Yield: 7%
PTC India maintains its position as a reliable dividend payer in the utilities sector. With a CMP of ₹158 and dividend payments totalling ₹11.7 over the past 12 months, the yield stands at 7%. During 2025, PTC issued two dividends: an interim dividend of ₹5.00 per share (ex-date May 5, 2025) and a final dividend of ₹6.70 per share (ex-date August 1, 2025), reinforcing its consistent distribution record.
3. Castrol India – Dividend Yield: 7%
Castrol India continues to deliver strong shareholder returns, offering a 7% dividend yield based on ₹13 paid over the last year and a CMP of ₹184. In 2025, the company announced two dividends: a final dividend of ₹9.50 per share (including a ₹4.50 special dividend) with an ex-date of March 18, 2025, paid by April 23; and an interim dividend of ₹3.50 per share with an ex-date of August 10, 2025, paid by September 2. These payouts highlight Castrol’s steady profit generation.
4. Thyrocare Technologies – Dividend Yield: 7%
Thyrocare, a prominent diagnostics company, delivered a 7% yield backed by ₹28 in dividends and a CMP of ₹429. In 2025, the company declared two significant dividends: a final dividend of ₹21 per share (record date July 25, 2025) and an interim dividend of ₹7 per share (record date October 24, 2025). Both were issued after strong performance and followed a notable 2:1 bonus issue around the October payout.
5. CESC – Dividend Yield: 6%
CESC continues to offer dependable income for investors with a 6% dividend yield based on ₹10.5 distributed over the past year and a CMP of ₹171. In 2025, the company paid two interim dividends: ₹4.50 per share with an ex-date of January 16, 2025, and ₹6.00 per share with an ex-date of October 27, 2025. The second payout followed strong Q2 FY2025–26 results and reaffirmed the company’s consistent dividend policy.
Honda India Power Products stands out in the industrial segment with ₹131.5 paid in dividends over the past 12 months, resulting in a 6% yield at its CMP of ₹2,336. In 2025, the company issued multiple payouts, including a ₹10 per share special/interim dividend (record date February 18) and a ₹21.50 per share final dividend for FY25 (record date September 18). These distributions reflect strong earnings and a solid financial position.
