List of highest / best dividend paying stocks in India 2021

Best dividend paying stocks in India

Last Updated on 1 week ago by Raj Kumar

List of highest / best dividend paying stocks in India 2021

Let’s have a look at different aspects of when does a company pays dividends, which companies are paying dividends in India, and should you invest in a company just because it pays good dividends?

When does a company pay a dividend?

A company announces dividends after the company board approves. Generally, many companies pass on the profits of the company in terms of dividends to its shareholders if they feel it’s the best use of the cash.

Although paying a dividend is good but some times it’s considered as the inability of the company to do CAPEX. As you can’t paint every stock with the same brush, dividend yardstick doesn’t hold true for most of the companies.

For example; most of the PSU companies in India are forced to pay dividends because Govt is the major stakeholder in the company and Govt wants to get money from the PSUs. So PSUs are most of the time the Best / highest dividend paying stocks in India but they are not always the best companies to invest in.

Also, some tech companies pay good dividends but that doesn’t mean that they are not looking for CAPEX. it’s just that their business model is different.

Consider reading  

What is Penny stock? – List of penny stock in India

10 stocks with highest share price in India

Blue chip stocks india

Zero debt companies in India

Best dividend paying stocks in India
Best / highest dividend paying stocks in India

Full list of best / highest dividend paying stocks in India in July 2021

Here the list of highest dividend paying stocks in India in July 2021

COMPANY / StockSECTOR – INDUSTRYLTP(Rs)Market CAP(Rs Cr.)DIVIDEND YIELD(%)
TCSIT Consulting & Software3,197.551,182,7901.41
InfosysIT Consulting & Software1,603.90683,1151.68
HULPersonal Care2,348.70551,8481.32
HCL TechIT Consulting & Software 1,000.30271,4483.2
ITCCigarettes211.15259,9015.09
Nestle IndiaFMCG Food & Beverages18,101.35174,5251.1
Sun PharmaPharma – Indian703.4168,7691.07
Tata SteelSteel – Integrated1,297.95156,2901.93
ONGCOil Drilling And Exploration114.55144,1073.14
Hindustan ZincMetals – Non Ferrous –
 Copper/Zinc/Alloys – Products
326.5137,9576.52
Power GridPower – Transmission232.7121,7395.16
NTPCPower Generation – Thermal119.35115,7305.15
Bajaj AutoAuto – 2 & 3 Wheelers3,836.35111,0113.65
Tech MahindraIT Consulting & Software 1,120.20108,5464.02
Vedanta Diversified272.1101,1453.49
BPCLOil Refining & Marketing45698,9184.75
Indian Oil Corp.Oil Refining & Marketing104.6598,51911.47
M&MAuto – Cars/UV/CV754.393,7741.16
Coal India LtdMining/Minerals14488,74311.11
BritanniaFMCG Food & Beverages3,482.0083,8704.52
Ambuja CementsCement – Pan India408.181,0344.41
MaricoPersonal Care53769,3481.4
GAILGas Distribution141.3562,7653.54
UPL Pesticides/Agro Chem819.9562,6481.22
Muthoot FinanceNBFC – Gold1,556.8062,4591.28
HDFC AMCAMC2,868.7561,1241.19
Indus TowersTelecommunications 
– Allied Services
224.260,4208.97
Hero MotoCorpAuto – 2 & 3 Wheelers2,810.2556,1463.74
Piramal Ent.Diversified2,252.6053,7611.46
SAILSteel – Integrated129.653,5322.16
LupinPharma – Indian1,171.7553,1861.11
Torrent PharmaPharma – Indian3,079.2052,1071.14
NMDCMining/Minerals174.851,2274.44
Colgate-PalmolivePersonal Care1,805.9549,1192.1
MphasisIT Consulting & Software 2,589.1548,4622.51
BELDefence Contractor184.644,9801.11
Bajaj HoldingsHolding – Diversified3,881.9043,2031.03
ConcorWarehousing/
Supply Chain/
Road Transport
658.2540,1071.04
Tata PowerPower – Integrated122.639,1751.26
HPCLOil Refining & Marketing273.5538,8047.31
Tata CommTelecommunications 
– Service
1,349.5538,4621.04
Abbott IndiaPharma – MNC17,859.8537,9511.54
HALDefence Contractor1,104.8536,9452.72
Shriram Trans FinNBFC – Vehicle Finance1,370.4036,5961.31
OracleIT Consulting & Software 4,137.6535,6354.83
Power Finance Corp.Term Lending – Power127.833,7407.82
Indian Railway 
Finance Corporation Ltd.
Others23.2530,3844.52
RECTerm Lending – Power150.7529,7727.3
CG ConsumerElectronics/Electricals468.4529,4101.17
GSK PharmaPharma – MNC1,728.4029,2801.74
Coromandel Int.Fertilisers914.226,8211.31
Supreme Ind.Plastic Intermediaries/
Products
2,095.6026,6201.05
Bayer Cropsc.Pesticides/Agro Chem5,838.7026,2401.97
NHPCPower Generation – Hydro25.7525,8666.21
EmamiPersonal Care559.624,8751.43
Nippon Life AMCAMC397.324,5692.01
Cummins IndiaEngines851.923,6151.76
ICICI SecuritiesBroking & Allied Services713.0523,0003.02
Torrent PowerPower – Integrated467.422,4642.35
LIC HousingNBFC – Housing442.6522,3391.92
CrisilRating Agency3,019.4521,9651.09
BHELCapital Goods – Power62.721,8331.68
Hatsun AgroFMCG Dairy Products925.7519,9561.51
Zee Ent.TV Broadcasting 
& Software Production
205.7519,7631.22
Tata ChemicalsChemicals – Inorganic 
– Caustic Soda/Soda Ash
758.319,3181.32
Sanofi IndiaPharma – MNC7,987.8018,3964.57
Oil India LtdOil Drilling And Exploration161.217,4813.1
Manappuram FinanceNBFC – Gold194.3516,4491.03
NALCOAluminium83.5515,3452.99
Exide Inds.Auto Ancl – Batteries178.215,1471.12
FirstsourceIT Enabled Services215.0514,9811.4
Castrol IndiaLubricants143.4514,1893.83
Ibull Housing FinNBFC – Housing285.1513,1863.16
Chambal FertilisersFertilisers316.113,1562.37
Vaibhav GlobalJewellery Retail782.8512,7773.19
Godrej AgrovetAnimal Feed/Processing654.8512,5791.22
RedingtonIT Networking Equipment320.912,5263.61
UTI AMCAMC926.3511,7451.84
Shriram City UnionNBFC – Diversified1,777.3511,7311.86
IIFL FinanceNBFC – Diversified297.8511,2881.51
Mahanagar GasGas Distribution1,139.1011,2522.02
CESCPower – Integrated837.7511,1055.37
Finolex Inds.Plastics – Pipes & Fittings176.1510,9302.27
Cyient IT Consulting & Software 984.0510,8341.73
SJVNPower Generation – Hydro27.3510,7488.04
Akzo NobelPaints/Varnishes2,265.4510,3172.21
Angel BrokingBroking & Allied Services1,229.6010,1281.05
HUDCONBFC – Housing47.39,4694.6
P&G HealthPharma – MNC5,444.209,0377.68
Trident LtdTextiles – Furnishings/
Terry Towels
17.18,7142.11
MCX IndiaExchange1,695.258,6461.63
Edelweiss FinancialNBFC – Diversified90.158,4431.61
Sonata SoftwareIT Consulting & Software 774.658,1461.81
NLC India Power Generation – Thermal57.057,9114.38
Finolex CablesElectronics/Electricals517.17,9081.06
Essel PropackPackaging – 
Metallic/Plastics/Others
242.97,6651.69
Bharat DynamicsDefence Contractor402.457,3761.83
Kalpataru PowerPower – Infrastructure474.757,0692.11
Thyrocare Tech.Diagnostics1,308.306,9181.91
RitesProject Consultancy/Turnkey285.356,8574.56
Full list of best / highest dividend paying stocks in India

Although it’s good to keep an eye on stocks paying high dividends but it’s always not necessary that the best dividend paying stocks are the best stocks to invest.

You have to be very careful in selecting a stock to invest in. You shouldn’t pick a stock just because it has given excellent dividends in the past.

Have a look at all famous investor’s portfolios here:-

Radhakishan Damani Portfolio

Porinju Veliyath portfolio

Vijay Kedia stocks portfolio

Nemish Shah stocks portfolio

Mohnish Pabrai Stocks Portfolio

Ashish Kacholia stocks portfolio

Most of the stocks from the above list have given great dividends in the past but have failed to generate any shareholder returns.

For all latest information on dividend announcement, you can check the NSE website

FAQ on best dividend paying stocks in India

Is it good to invest in high dividend stocks?

Best dividend paying stocks are not always the best stocks to invest in. India, PSU stocks pay huge dividends but the returns of the shares of the PSU companies are not the best.

So Best dividend paying stocks are not always the best stock to invest in

What are the top 5 best dividend paying stocks in India?

Some of the companies which are best / highest dividend paying stocks in India 2021:-

Vedanta
NLC India
Oil India
NIIT
Cochin Shipyard

What are the best dividend paying stocks for the long term in India?

If you are a long term investor then you should look at companies which give dividends consistently. Some of the companies which are best dividend paying stocks and good investment option for long term are as below

1. P&G Health
2. Pfizer
3. Oracle
4. Sanofi India
5. Hero MotoCorp

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