Dividend stocks with lower payout ratios (2026)

Using payout ratio as a dividend safety signal

Dividend safety is one of the most important questions for income investors. While no single metric can guarantee a dividend is safe, payout ratio is a useful starting point because it shows how much of a company’s earnings are being returned as dividends. This screen focuses on dividend stocks with lower payout ratios in the Dividend Terminal coverage universe. A lower payout ratio can suggest more room to absorb earnings volatility, reinvest in the business, or continue raising the dividend. However, payout ratio must be interpreted in context. Utilities, REITs, financials, and industrial companies can have very different normal payout ranges. Accounting earnings may also differ from cash flow, especially in capital-intensive industries. Use this page as a dividend safety research tool, not a definitive safety ranking. Combine payout ratio with free cash flow, debt levels, profitability, dividend history, and management commentary.

Dividend stock screen

Symbol Company Yield Payout 5Y Growth Sector Mkt Cap
HAE Haemonetics Corporation - 0% - Industrials $3.2B
ENSG The Ensign Group, Inc. 0.15% 4% 4.6% Health Care $10.0B
HEI HEICO Corporation 0.07% 4% 8.5% Industrials $46.3B
FIX Comfort Systems USA, Inc. 0.14% 6% 37.0% Industrials $64.9B
WRB W. R. Berkley Corporation 0.58% 8% 79.6% Financials $25.5B
LAD Lithia Motors, Inc. 0.79% 8% 12.5% Consumer Discreti… $6.6B
GL Globe Life Inc. 0.83% 8% 7.5% Financials $12.4B
MCK McKesson Corporation 0.42% 8% 13.1% Health Care $93.2B
ALL The Allstate Corporation 1.95% 9% 14.3% Financials $56.9B
AL Air Lease Corporation 0.01% 9% 7.7% Industrials $7.3B
UNTY Unity Bancorp, Inc. 1.12% 10% 12.7% Financials $554M
MATX Matson, Inc. 0.77% 11% 9.4% Industrials $5.7B
AGCO AGCO Corporation 1.03% 11% 14.8% Industrials $8.4B
WST West Pharmaceutical Services 0.28% 12% 5.5% Health Care $22.2B
CHE Chemed Corporation 0.54% 13% 11.0% Consumer Staples $5.9B
AAPL Apple Inc. 0.35% 13% 5.0% Technology $4.5T
WMS Advanced Drainage Systems 0.61% 13% 14.2% Materials $10.0B
CB Chubb Limited 1.25% 14% 4.3% Financials $126.5B
ALG Alamo Group Inc. 0.86% 15% 18.4% Industrials $1.8B
MTRN Materion Corporation 0.26% 15% 4.1% Industrials $4.6B
KAI Kadant Inc. 0.48% 16% 7.3% Industrials $3.5B
HIG The Hartford Financial Services 1.82% 16% 10.7% Financials $36.2B
DHI D.R. Horton, Inc. 1.24% 16% 18.0% Consumer Discreti… $41.3B
AON Aon plc 1.00% 16% 4.7% Financials $70.2B
GCBC Greene County Bancorp 1.45% 17% 10.6% Financials $470M
WTFC Wintrust Financial Corp. 1.37% 17% 12.3% Financials $10.3B
COR Cencora, Inc. 0.87% 18% -14.8% Health Care $53.5B
PRI Primerica, Inc. 1.69% 18% 21.1% Financials $8.3B
MA Mastercard Incorporated 0.71% 18% 13.7% Financials $433.9B
ODC Oil-Dri Corporation 0.97% 19% 5.7% Materials $1.2B
EVR Evercore Inc. 1.05% 19% 7.2% Financials $13.1B
FSFG First Savings Financial 0.02% 19% 26.1% Financials $238M
LRCX Lam Research Corporation 0.34% 19% 14.9% Technology $379.3B
HWKN Hawkins, Inc. 0.49% 19% 9.7% Materials $3.2B
ISTR Investar Holding Corporation 1.52% 19% 12.0% Financials $400M
MORN Morningstar, Inc. 1.08% 20% 7.9% Technology $7.1B
RJF Raymond James Financial 1.43% 20% 17.3% Financials $29.5B
HBCP Home Bancorp, Inc. 1.86% 20% 5.4% Financials $514M
RGA Reinsurance Group of America 1.81% 20% 5.4% Financials $13.4B
A Agilent Technologies, Inc. 0.75% 20% 15.2% Technology $38.3B
CINF Cincinnati Financial Corporation 2.27% 20% 7.7% Financials $25.6B
BRO Brown & Brown, Inc. 1.10% 21% 12.1% Financials $20.0B
MLM Martin Marietta Materials 0.58% 21% 7.7% Industrials $34.6B
MSFT Microsoft Corporation 0.87% 21% 10.2% Technology $3.1T
ROP Roper Technologies 1.10% 21% 10.0% Industrials $33.5B
STN Stantec Inc. 0.92% 21% -3.6% Industrials $8.4B
KLAC KLA Corporation 0.48% 22% 16.2% Technology $252.0B
STLD Steel Dynamics, Inc. 0.79% 22% 15.3% Materials $38.7B
V Visa Inc. 0.83% 22% 14.9% Financials $615.3B
NUE Nucor Corporation 0.88% 22% 6.6% Materials $57.9B

Related topics

FAQ

Is low payout always “safe”?
No. Earnings can be volatile, and accounting metrics differ by industry. Use cash flow and business quality alongside payout.