Exploring smaller-cap dividend stocks for high yields

From Yahoo Finance: 2025-06-20 19:00:00

When it comes to dividend investing, choosing large, consistent companies like Coca-Cola and Abbott is common. Yet, exploring overlooked smaller-caps can offer attractive yields. Using Barchart’s Stock Screener, criteria like analyst coverage, dividend payout ratio, market cap, and yield can help identify hidden gems in the market.

After running the screen, 13 companies met the criteria. Rithm Capital, a REIT with stable dividend payments and an 8.9% yield, stood out. Copa Holdings, a South American airline company offering a 6.02% yield, and Nexstar Media Group, a TV broadcast group with a 4.46% yield, also made the list.

While big names like KO and ABT are popular for dividend investing, smaller dividend stocks can provide attractive yields. Investing in smaller-cap companies may come with higher risks, but it can also lead to discovering high-yield stocks on the path to becoming large-cap players.

Read more: 3 Highly-Rated Dividend Stocks You’ve Probably Never Heard Of (But Should)