In this article, we discuss 5 high dividend stocks with over 12% yield. If you want our detailed analysis of dividend investing and these stocks, go directly to 10 High Dividend Stocks with Over 12% Yield.
5. ZIM Integrated Shipping Services Ltd. (NYSE:ZIM)
Dividend Yield: 17.80%
Number of Hedge Fund Holders: 22
On November 17, ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) reported solid Q3 earnings, posting an EPS of $12.16, topping estimates by $2.83. Revenue over the period amounted to $3.14 billion, outperforming estimates by $374.27 million. The stock jumped 10% to $54.93 after the Q3 earnings beat.
ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) is a cargo shipping company from Israel, founded in 1945. It is one of the top 20 global carriers, offering multiple services including container shipping, refrigerated cargo, and logistics services worldwide.
The CEO and President of ZIM Integrated Shipping Services Ltd. (NYSE:ZIM), Eli Glickman, announced on November 17 that the company will be paying in December 2021 a $2.50 per share interim dividend for the third quarter, representing approximately 20% of the quarterly net income.
Abrams Bison Investments is one of the leading stakeholders of ZIM Integrated Shipping Services Ltd. (NYSE:ZIM), increasing its stake in the company by 155% in Q3, holding 1.56 million shares worth $79.4 million. Similarly, of the 22 funds that were bullish on ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) by the end of September 2021, prominent stakeholders including Renaissance Technologies, Arrowstreet Capital, and Citadel Investment Group increased their positions in ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) by 399%, 369%, and 178% in the third quarter, respectively.
Here is what Evermore Global Advisors has to say about ZIM Integrated Shipping Services Ltd. (NYSE:ZIM) in its Q2 2021 investor letter:
“ZIM Integrated Shipping Services (ZIM) was the largest contributor to the Fund’s performance during the second quarter. With a market cap of $5.2 billion, ZIM is an Israel-based containership operator that had its initial public offering on the New York Stock Exchange this past January. As a reminder, we discussed ZIM at length in the Q1 2021 quarterly commentary as one of the new investments that we initiated during that period.
There were several notable developments during the second quarter. Given the company’s unique asset light business model and targeted, global niche approach, ZIM continued to generate exceptionally strong cash flows. ZIM ended the period with approximately $1.25 billion in cash and about $915 million in net debt. Due to the strong operational performance, the company further strengthened its balance sheet by redeeming its Series 1 and Series 2 unsecured notes due in 2023. With the early redemption of the unsecured notes, ZIM was no longer subject to certain dividend restrictions, and it declared a special dividend of $2 per share, which will be payable on Sept 15th (goes ex on August 24th). Lastly, management revised its 2021 full year EBITDA guidance from $1.4 – 1.6 billion to $2.5 – $2.7 billion, which was a sizable increase compared to the levels set last March. To that end, we continue to have high conviction in our position in ZIM.”
4. Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN)
Dividend Yield: 20.17%
Number of Hedge Fund Holders: 10
Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) is an international shipping company that owns a range of dry bulk carriers and tankers, and operates primarily in the dry bulk segment, in addition to transporting petroleum products such as petrol, diesel, jet fuel, naphtha, and heavy fuel oil. Headquartered in Singapore, Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) also operates out of Durban, South Africa and London, England.
On November 17, Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) announced earnings for the quarter ending September 30. EPS for the period amounted to $2.28, exceeding estimates by $0.19. Revenue for the third quarter equaled $135.14 million, beating estimates by $19.06 million.
Jefferies analyst Randy Giveans on October 28 initiated coverage of Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) with a Buy rating and a $20 price target. The analyst stated that the dry bulk shipping industry has an attractive outlook and Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN) has “a fortress balance sheet,”, with shares trading at a 35% discount to net asset value.
10 hedge funds monitored by Insider Monkey in the third quarter reported owning stakes in Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN), with total stakes worth $27.6 million. This is an increase as compared to the preceding quarter, when 2 hedge funds were long Grindrod Shipping Holdings Ltd. (NASDAQ:GRIN), with a total stake value of $13.2 million.
3. Labrador Iron Ore Royalty Corporation (OTC:LIFZF)
Dividend Yield: 22.46%
Number of Hedge Fund Holders: N/A
Labrador Iron Ore Royalty Corporation (OTC:LIFZF) is a Canadian investment company with an equity interest in the privately held Iron Ore Company of Canada, a significant producer and exporter of premium iron ore pellets and high-grade concentrate. Labrador Iron Ore Royalty Corporation (OTC:LIFZF) is one of the best high dividend stocks, offering dividends since 2012, with a forward yield of 22.46%.
Labrador Iron Ore Royalty Corporation (OTC:LIFZF) announced earnings for the third quarter on November 5. The company posted a GAAP EPS of C$1.64, along with a revenue of C$74.71 million, which was up 41.3% year-over-year.
Scotiabank analyst Orest Wowkodaw on November 5 lowered the price target on Labrador Iron Ore Royalty Corporation (OTC:LIFZF) to C$40 from C$41 and kept an Outperform rating on the shares.
2. Golden Ocean Group Limited (NASDAQ:GOGL)
Dividend Yield: 24.13%
Number of Hedge Fund Holders: 13
Golden Ocean Group Limited (NASDAQ:GOGL), a dry bulk shipping company headquartered in Hamilton, Bermuda, is one of the best high dividend stocks, offering a dividend yield of 24.13%. Golden Ocean Group Limited (NASDAQ:GOGL) declared a quarterly dividend per share of $0.85 on December 7, which reflected a 70% increase from the prior quarter dividend of $0.50. The dividend would be payable on December 16 to shareholders of record on December 9.
Golden Ocean Group Limited (NASDAQ:GOGL) posted on November 24 its Q3 results. EPS in the quarter equaled $0.92, beating estimates by $0.27. The revenue jumped 115.95% year-over-year to $305.88 million, outperforming estimates by $43.93 million.
Arrowstreet Capital, the leading stakeholder of Golden Ocean Group Limited (NASDAQ:GOGL), increased its stake in the company by 4% in the third quarter. The hedge fund holds 4.3 million Golden Ocean Group Limited (NASDAQ:GOGL) shares, worth $45.88 million. A total of 13 hedge funds were bullish on the stock in Q3, with total stakes amounting to $106.5 million.
1. Kumba Iron Ore Limited (OTC:KIROY)
Dividend Yield: 24.36%
Number of Hedge Fund Holders: N/A
Kumba Iron Ore Limited (OTC:KIROY) is a South African iron ore mining company, headquartered in Gauteng. Kumba Iron Ore Limited (OTC:KIROY) is the fourth largest iron ore producer worldwide and the largest in Africa. With a forward dividend yield of 24.36%, Kumba Iron Ore Limited (OTC:KIROY) is one of the best high dividend stocks to invest in.
Kumba Iron Ore Limited (OTC:KIROY) reported that performance in 2021 increased by 7% as compared to 2020, and the company expects to deliver 35% growth over the next decade at a 50% margin.
Kumba Iron Ore Limited (OTC:KIROY) has delivered $10.3 billion in cash returns to shareholders since 2017 and $4 billion in the second half of 2021 alone, making it an attractive high dividend stock.
On November 11, Sunday Times awarded Kumba Iron Ore Limited (OTC:KIROY) the first position in its list of the top 100 companies that earned the highest returns for their stakeholders over the past five years.
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