Dividend companies are a vital part of any investor’s portfolio. They offer a wide range of positives, including a steady income and the ability to keep growing your portfolio, primarily through reinvesting dividend payments into the underlying company to increase your overall return.
Companies with reasonable growth projections, solid fundamentals and attractive dividends are great picks for investors. That’s because the income potential with the increase in the underlying share price and dividend payments leads to greater returns time for the patient investor.
Below, I will discuss three companies with high-yield dividend stocks offering potential share price appreciation due to solid fundamentals.
Trinity Capital (TRIN)
Trinity Capital (NASDAQ:TRIN), located in Arizona, operates as a financial services company that provides growth-stage companies with funding. Trinity Capital specializes in venture debt, used to provide new companies the ability to raise capital through equity and equipment financing rounds. That financing option focuses on preserving the company’s overall equity.
Trinity Capital started trading on the NASDAQ back in early 2021. And this year, their stock price is up by 31%. It offers an annual dividend yield of approximately 13.1%, with its last quarterly dividend of $0.49 announced on September 13. That offering is also the company’s tenth consecutive quarter seeing an increase in its dividend payments.
In September, Trinity Capital announced that effective January 2024, Steve Brown, who was Trinity Capital’s original CEO, would step down and take the role of executive chairman. In his place, Kyle Brown, currently the president and chief investment officer, will take over as CEO. The news didn’t cause much movement for its stock price.
Trinity reported second-quarter results on August 2, showing an increase in total interest income of 37%, partly due to increased interest rates.
EPR Properties (EPR)
EPR Properties (NYSE:EPR) is a real estate investment trust (REIT), and the exciting aspect that comes with companies structured as REITs is that they are required to give their investors 90% of their net earnings in the form of dividend payments. That typically makes REITs one of the highest dividend-paying sectors in the market.
Headquartered in Kansas City, Missouri, it invests in experiential properties such as recreational locations to attract consumers to spend time and money. Its portfolio includes AMC Theatres, Topgolf, Hurricane Harbor, childhood learning centers and multiple ski and experiential lodging locations.
ERP Properties offers an annual dividend yield of approximately 7.8%, and its most recent monthly dividend payout was $0.28.
Within the past year, EPR Properties saw its share price grow by approximately 16%. On August 2, it released the second quarter earnings for 2023, which stated an 8% increase in total revenue and net income that fell by 78%. EPR Properties also restructured its agreement with Regal, which involved new master leases for many of its movie theatres.
Enel Chile (ENIC)
Enel Chile (NYSE:ENIC) is an electric utility company in Santiago, Chile. It generates and distributes electricity within the country. Enel Chile generates electricity through many sources, including thermal, hydroelectric, wind, geothermal and solar power plants. It also deals with natural gas distribution.
Over the past year, Enel Chile’s share price has grown by 114%. Trading at just over $3, it offers a fantastic dividend of 10.9% annually. Its most recent quarterly dividend payment was $0.32 for the second quarter.
The Chilean economy is thriving, and the expected energy consumption for the country should grow by 25% throughout this decade. Since Enel Chile is the country’s largest electricity provider, it is in an advantageous position for profit growth over the coming years.
As of this writing, Noah Bolton did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.