Whilst I think the Australia and New Zealand Banking Group (ASX: ANZ) dividend is a great option for investors following recent declines, some investors are hesitant to invest in the banking sector at present.
In light of this, I have picked out three shares from outside the banking sector with great dividends. Here they are:
Dicker Data Ltd (ASX: DDR)
At present the shares of this wholesale computer hardware company provide investors with a dividend yield that rivals even the banks. This year management plans to pay a fully franked 16.4 cents per share dividend, which equates to a massive 6.8% yield at today's share price. Thanks to new opportunities and revenue streams from the cloud, digital transformation, and the Internet of Things, I think Dicker Data is in a position to continue its strong performance for the foreseeable future.
Japara Healthcare Ltd (ASX: JHC)
Australia's population is ageing and I believe Japara is in a great position to profit. The company plans to meet the expected increase in demand for aged care services by significantly expanding the number of places it manages over the next few years. Japara intends to add over 2,500 new places by 2025/26, an increase of 65%. I expect the increase in earnings this generates will allow the company to raise its dividend periodically. At present its shares provide a trailing fully franked 5.4% dividend.
Telstra Corporation Ltd (ASX: TLS)
With a trailing fully franked 7.1% dividend, Telstra could arguably be the best alternative to the big four banks for income investors. While there are concerns over increased competition and NBN margins, I believe the increase in data consumption, its market-leading position, unrivalled networks, and cost-savings plan will allow the telco giant to grow earnings at a steady rate over the next decade. With its shares down sharply over the last 12 months, I feel now could be an opportune time to snap them up.
