Why BNP Paribas SA (BNPQY) is a Top Dividend Stock for Your Portfolio

Company Overview - BNP Paribas SA (BNPQY) is based in Paris and operates in the Finance sector, with a year-to-date share price change of 47.65% [3] - The company currently pays a dividend of $2.01 per share, resulting in a dividend yield of 4.44%, which is higher than the Banks - Foreign industry's yield of 3.2% and the S&P 500's yield of 1.48% [3] Dividend Performance - The current annualized dividend of $2.01 represents a 9% increase from the previous year [4] - Over the last five years, BNP Paribas has increased its dividend four times, achieving an average annual increase of 9.87% [4] - The company's current payout ratio is 38%, indicating that it paid out 38% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - The Zacks Consensus Estimate for BNP Paribas's earnings in 2025 is $5.67 per share, reflecting a year-over-year growth rate of 1.61% [5] - The company is expected to experience earnings expansion in the current fiscal year [5] Investment Considerations - Dividends are favored by investors as they enhance stock investing profits, reduce overall portfolio risk, and offer tax advantages [5] - High-yielding stocks may face challenges during periods of rising interest rates, but BNP Paribas is considered a compelling investment opportunity due to its strong dividend profile [6] - The stock currently holds a Zacks Rank of 3 (Hold) [6]