VOD - UK Top 40 High-Yield Blue-Chip Stocks: Q3 2022
Summary
- I'm launching the first edition of the UK Top 40 High-Yield Blue-Chip Stocks list.
- The list is based on stocks from the FTSE 100 and FTSE 250.
- Given the weak economic backdrop, it shouldn't be a complete surprise that the average dividend yield across this list of stocks is very high.
My website is called UK Dividend Stocks so I thought it was about time I started writing a bit more about well-known high-yield stocks.
So, with this post I'm launching the first edition of the UK Top 40 High-Yield Blue-Chip Stocks list.
The idea is to give you a list of well-known, large-cap, high-yield UK stocks as a way of simplifying the question, "what high-yield stock should I consider next?"
This is effectively a simplified version of the stock screen I publish as part of my monthly newsletter.
The list is based on stocks from the FTSE 100 and FTSE 250.
I sort the full list by a combination of size (market cap) and dividend yield (forecast yield), so the top stocks on the list have the best combination of large size and large yield.
The list gets its data from SharePad.
Given the weak economic backdrop, with the FTSE 100 trading close to fair value and the FTSE 250 below fair value , it shouldn't be a complete surprise that the average dividend yield across this list of stocks is very high.
The mean (average) yield is 6.8% and the median (middle) yield is 6.1%, both of which are way above the 3.1% yield you'll get from a FTSE All-Share tracker.
I've also added links to the list for stocks I've written about in detail.
Here's the full list:
| No. | Name (Links to Review) | EPIC | Index | Sector | Share Price | Forecast Yield (%) |
|---|---|---|---|---|---|---|
| 1 | ||||||
| Rio Tinto PLC ( RIO ) | ||||||
| RIO | ||||||
| FTSE 100 | ||||||
| Industrial Metals and Mining | ||||||
| £47.33 | ||||||
| 10.99 | ||||||
| 2 | ||||||
| Glencore PLC ( GLCNF ) | ||||||
| GLEN | ||||||
| FTSE 100 | ||||||
| Industrial Metals and Mining | ||||||
| £4.87 | ||||||
| 10.04 | ||||||
| 3 | ||||||
| NatWest Group PLC ( NWG ) | ||||||
| NWG | ||||||
| FTSE 100 | ||||||
| Banks | ||||||
| £2.55 | ||||||
| 11.34 | ||||||
| 4 | ||||||
| Anglo American PLC ( AAUKF ) | ||||||
| AAL | ||||||
| FTSE 100 | ||||||
| Industrial Metals and Mining | ||||||
| £28.07 | ||||||
| 7.45 | ||||||
| 5 | ||||||
| BATS | ||||||
| FTSE 100 | ||||||
| Tobacco | ||||||
| £34.79 | ||||||
| 6.72 | ||||||
| 6 | ||||||
| Vodafone Group PLC ( VOD ) | ||||||
| VOD | ||||||
| FTSE 100 | ||||||
| Telecommunications Service Providers | ||||||
| £1.13 | ||||||
| 6.88 | ||||||
| 7 | ||||||
| Imperial Brands PLC ( IMBBY ) | ||||||
| IMB | ||||||
| FTSE 100 | ||||||
| Tobacco | ||||||
| £19.27 | ||||||
| 7.38 | ||||||
| 8 | ||||||
| Legal & General Group PLC ( LGGNY ) | ||||||
| LGEN | ||||||
| FTSE 100 | ||||||
| Life Insurance | ||||||
| £2.58 | ||||||
| 7.51 | ||||||
| 9 | ||||||
| Aviva PLC ( AIVAF ) | ||||||
| AV. | ||||||
| FTSE 100 | ||||||
| Life Insurance | ||||||
| £4.36 | ||||||
| 7.15 | ||||||
| 10 | ||||||
| Lloyds Banking Group PLC ( LYG ) | ||||||
| LLOY | ||||||
| FTSE 100 | ||||||
| Banks | ||||||
| £0.45 | ||||||
| 5.41 | ||||||
| 11 | ||||||
| HSBC Holdings PLC ( HSBC ) | ||||||
| HSBA | ||||||
| FTSE 100 | ||||||
| Banks | ||||||
| £5.34 | ||||||
| 4.82 | ||||||
| 12 | ||||||
| National Grid PLC ( NGG ) | ||||||
| NG. | ||||||
| FTSE 100 | ||||||
| Gas, Water and Multi-utilities | ||||||
| £10.79 | ||||||
| 5.01 | ||||||
| 13 | ||||||
| Persimmon PLC ( PSMMF ) | ||||||
| PSN | ||||||
| FTSE 100 | ||||||
| Household Goods and Home Construction | ||||||
| £14.97 | ||||||
| 15.18 | ||||||
| 14 | ||||||
| M&G PLC ( MGPUF ) | ||||||
| MNG | ||||||
| FTSE 100 | ||||||
| Investment Banking and Brokerage Services | ||||||
| £2.04 | ||||||
| 9.6 | ||||||
| 15 | ||||||
| Phoenix Group Holdings ( PNXGF ) | ||||||
| PHNX | ||||||
| FTSE 100 | ||||||
| Life Insurance | ||||||
| £6.14 | ||||||
| 8.21 | ||||||
| 16 | ||||||
| ADM | ||||||
| FTSE 100 | ||||||
| Non-life Insurance | ||||||
| £21.69 | ||||||
| 7.68 | ||||||
| 17 | ||||||
| BT Group PLC ( BTGOF ) | ||||||
| BT.A | ||||||
| FTSE 100 | ||||||
| Telecommunications Service Providers | ||||||
| £1.42 | ||||||
| 5.49 | ||||||
| 18 | ||||||
| SSE PLC ( SSEZF ) | ||||||
| SSE | ||||||
| FTSE 100 | ||||||
| Electricity | ||||||
| £16.87 | ||||||
| 5.37 | ||||||
| 19 | ||||||
| BP PLC ( BP ) | ||||||
| BP. | ||||||
| FTSE 100 | ||||||
| Oil, Gas and Coal | ||||||
| £4.53 | ||||||
| 4.46 | ||||||
| 20 | ||||||
| GSK PLC ( GSK ) | ||||||
| GSK | ||||||
| FTSE 100 | ||||||
| Pharmaceuticals, Biotechnology and Marijuana Producers | ||||||
| £13.47 | ||||||
| 4.56 | ||||||
| 21 | ||||||
| Barratt Developments PLC ( BTDPF ) | ||||||
| BDEV | ||||||
| FTSE 100 | ||||||
| Household Goods and Home Construction | ||||||
| £4.22 | ||||||
| 8.93 | ||||||
| 22 | ||||||
| Barclays PLC ( BCS ) | ||||||
| BARC | ||||||
| FTSE 100 | ||||||
| Banks | ||||||
| £1.68 | ||||||
| 4.39 | ||||||
| 23 | ||||||
| Shell PLC ( SHEL ) | ||||||
| SHEL | ||||||
| FTSE 100 | ||||||
| Oil, Gas and Coal | ||||||
| £23.08 | ||||||
| 3.78 | ||||||
| 24 | ||||||
| Taylor Wimpey PLC ( TWODF ) | ||||||
| TW. | ||||||
| FTSE 100 | ||||||
| Household Goods and Home Construction | ||||||
| £1.08 | ||||||
| 8.71 | ||||||
| 25 | ||||||
| WPP Group PLC | ||||||
| WPP | ||||||
| FTSE 100 | ||||||
| Media | ||||||
| £7.44 | ||||||
| 5.09 | ||||||
| 26 | ||||||
| abrdn PLC ( SLFPF ) | ||||||
| ABDN | ||||||
| FTSE 100 | ||||||
| Investment Banking and Brokerage Services | ||||||
| £1.52 | ||||||
| 9.64 | ||||||
| 27 | ||||||
| Unilever PLC ( UL ) | ||||||
| ULVR | ||||||
| FTSE 100 | ||||||
| Personal Care, Drug and Grocery Stores | ||||||
| £39.17 | ||||||
| 3.76 | ||||||
| 28 | ||||||
| Tesco PLC ( TSCDF ) | ||||||
| TSCO | ||||||
| FTSE 100 | ||||||
| Personal Care, Drug and Grocery Stores | ||||||
| £2.56 | ||||||
| 4.2 | ||||||
| 29 | ||||||
| Direct Line Insurance Group PLC ( DIISF ) | ||||||
| DLG | ||||||
| FTSE 250 | ||||||
| Non-life Insurance | ||||||
| £2.08 | ||||||
| 9.85 | ||||||
| 30 | ||||||
| Sainsbury ((J)) PLC ( JSNSF ) | ||||||
| SBRY | ||||||
| FTSE 100 | ||||||
| Personal Care, Drug and Grocery Stores | ||||||
| £2.10 | ||||||
| 5.94 | ||||||
| 31 | ||||||
| CRH PLC ( CRHCF ) | ||||||
| CRH | ||||||
| FTSE 100 | ||||||
| Construction and Materials | ||||||
| £30.88 | ||||||
| 3.77 | ||||||
| 32 | ||||||
| Schroders PLC ( SHNWF ) | ||||||
| SDR | ||||||
| FTSE 100 | ||||||
| Investment Banking and Brokerage Services | ||||||
| £26.84 | ||||||
| 4.51 | ||||||
| 33 | ||||||
| St James's Place PLC ( STJPF ) | ||||||
| STJ | ||||||
| FTSE 100 | ||||||
| Investment Banking and Brokerage Services | ||||||
| £11.07 | ||||||
| 4.92 | ||||||
| 34 | ||||||
| Mondi PLC ( MONDF ) | ||||||
| MNDI | ||||||
| FTSE 100 | ||||||
| General Industrials | ||||||
| £14.68 | ||||||
| 4.69 | ||||||
| 35 | ||||||
| Berkeley Group Holdings PLC ( BKGFY ) | ||||||
| BKG | ||||||
| FTSE 100 | ||||||
| Household Goods and Home Construction | ||||||
| £35.73 | ||||||
| 6.2 | ||||||
| 36 | ||||||
| Smurfit Kappa Group PLC ( SMFTF ) | ||||||
| SKG | ||||||
| FTSE 100 | ||||||
| General Industrials | ||||||
| £28.23 | ||||||
| 4.38 | ||||||
| 37 | ||||||
| ITV PLC ( ITVPF ) | ||||||
| ITV | ||||||
| FTSE 250 | ||||||
| Media | ||||||
| £0.64 | ||||||
| 8.02 | ||||||
| 38 | ||||||
| Intermediate Capital Group PLC ( ICGUF ) | ||||||
| ICP | ||||||
| FTSE 100 | ||||||
| Investment Banking and Brokerage Services | ||||||
| £12.99 | ||||||
| 6.04 | ||||||
| 39 | ||||||
| Royal Mail Group PLC ( ROYMF ) | ||||||
| RMG | ||||||
| FTSE 250 | ||||||
| Industrial Transportation | ||||||
| £2.61 | ||||||
| 8.24 | ||||||
| 40 | ||||||
| United Utilities Group PLC ( UUGRY ) | ||||||
| UU. | ||||||
| FTSE 100 | ||||||
| Gas, Water and Multi-utilities | ||||||
| £10.65 | ||||||
| 4.27 |
Currently, the plan is to update this list with a new blog post each quarter.
I do hold some of these stocks in my personal portfolio and the UK Dividend Stocks Portfolio , but I'm not going to say which ones (although if you read the detailed reviews, you'll find out which ones I own).
Hopefully, I'll have time to review one company from the list each month, so that over time this should build into a nice list of high-yield blue-chips with links to very detailed reviews of each company.
If you have any particular preference for which top 40 stock I should review next, let me know in the comments below.
Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.
For further details see:
UK Top 40 High-Yield Blue-Chip Stocks: Q3 2022