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For these in search of dividend shares, April ought to be an excellent month for information. Three of my favorite corporations are set to publish updates. And I price all of them as too low-cost.
Taylor Wimpey
The Taylor Wimpey (LSE: TW.) share worth goes off the boil once more, and it’s round 20% down up to now 5 years now.
We must always have an replace on AGM day on 23 April.
There’s rising hypothesis that rates of interest might begin to come down as quickly as Might. And we may very well be down an entire proportion level by the top of the 12 months.
Which means something we hear in April might come at a good time for these contemplating shopping for.
With FY leads to February, we heard that “present buying and selling exhibits some encouraging indicators of enchancment with diminished mortgage charges positively impacting affordability and confidence in our buyer base“.
And I actually simply need to see how that’s holding up a few months later.
Barclays
I preserve altering my thoughts over which FTSE 100 financial institution valuation I like the very best. One month it’s Lloyds Banking Group, the subsequent it’s NatWest Group. And on 25 April, it may be Barclays (LSE: BARC) once more.
We have now Q1 outcomes due on that date. And I feel it might give the share worth an additional enhance. Barclays shares are again to the place they had been earlier than Covid, which is sweet going.
This time, I actually simply need to see how liquidity is doing. However with the financial institution on a brand new share buyback run, I don’t count on any bother there.
One key factor struck me in February’s FY23 outcomes. That’s the financial institution’s plan to return no less than £10bn of capital to shareholders between 2024 and 2026, by dividends and share buybacks.
Any futher ideas on that will be welcome.
WPP
Media large WPP (LSE: WPP) is my third selection. Its share worth has had a risky few years, with a Covid restoration that quickly fell aside.
However with a Q1 buying and selling replace due additionally on 25 April, I’m wondering if we’d see one other enhance.
We’re nonetheless in early days for the agency’s restoration, however forecasts look good. There’s a ahead price-to-earnings (P/E) ratio of 10.5 down for the present 12 months. And in these unsure occasions, I feel that may be honest valuation.
However earnings development forecasts would drop that to underneath eight by 2026, with the dividend yield as much as 5.6%. The dividend funds ought to be strongly coated by earnings too, if the Metropolis has it proper.
Any early signal of how the 12 months goes up to now can be welcome, significantly on the money movement entrance.
St James’s Place
And now an honourable point out for St James’s Place, as a result of publish a Q1 new enterprise replace on 30 April.
This ought to be the primary we’ve heard from the agency since February’s FY outcomes despatched the share worth crashing.
It’s all about £426m put aside for potential refunds to shoppers who overpaid for charges and recommendation. Oh, and a slashed dividend. Something that implies we’re not in for an additional shock can be good.
