Saturday, December 02, 2017

Here's the Best Dividend Stock in Airlines

The American economy is still buoyant and people are traveling, trends that continue to boost growth in the U.S. airline industry despite a recent uptick in fuel prices. The business has never been known as a fruitful source of shareholder dividends, but thanks to this success, the situation has changed -- more are inclined to hand out dividends to their investors. It nearly goes without saying that not all are created equal; here's the airline sector payout that I think flies above the rest...

The dividend-paying carriers traded on U.S. stock exchanges generally tended to pay out at around the same rate well into 2017. At least they did until Delta Air Lines (NYSE:DAL) and Panama's Copa Holdings hiked their payouts. Now, Delta's yields 2.4%, and Copa weighs in at 2.5%. Behind them, Alaska Air Group (NYSE:ALK)and China Southern Airlines both yield just under 2%. A bit down the ladder is Hawaiian Holdings, which recently initiated a 1.4% dividend. The low end belongs to the sub-1% yields of American Airlines Group and Southwest.

Source: Motley Fool

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