There is a lot more green in our lives this week (hopefully your dividend stocks are making it greener). This week, we will conclude the trading week with Saint Patrick’s Day. This year, instead of celebrating by simply eating Irish potatoes or drinking Shamrock Shakes, consider a dividend investment in an Irish company.
What many of us do not realize about Ireland is that it is not all just pubs and bars – it is actually the number one most desirable country for U.S. companies to establish foreign direct investment. Due to its business friendly practices and low corporate taxes, Ireland is a haven for many of the U.S. dividend paying companies that we all love. The country has a corporate tax rate of about 12.5%, compared to the United States, which has a 35% corporate tax rate. Check out this chart for country comparisons.
Among the top U.S. investors are Apple (NYSE: AAPL), Intel (NASDAQ: INTC), Boston Scientific (NYSE: BSX), Pfizer (NYSE: PFE), Google (NASDAQ: GOOG), Hewlett Packard (NYSE: HPQ), Facebook (NASDAQ: FB) and Johnson & Johnson (NYSE: JNJ).
As for Ireland-based stocks, there are a few options that pay dividends. Below are three Irish stocks that pay dividends.
Ingersoll-Rand PLC (NYSE: IR)
is an industrial services company that was founded in 1905, but has had roots since the 1800s. The company has been paying a dividend
since 1992, and has been raising them consistently since 2011. Currently, Ingersoll-Rand offers a dividend yield of about 2%. It will pay its next $0.40 dividend on March 31. In October, the company boosted its dividend
In the last twelve months, the stock is up 35%. IR is currently trading at 18 times its future earnings estimates.
CRH PLC (NYSE: CRH) is a Dublin-based ADR that focuses on building materials. It is the largest company in Ireland. The ADR started paying a dividend in 2013 and makes its payments on a semi-annual basis. Since it is an ADR (it trades primarily on the London Stock Exchange), the dividend varies with each payout. The stock offers a dividend yield of about 2.8%, which is above the industry average of 1.4%. For investors interested in capturing the stock’s dividend, CRH goes ex-dividend every March and September. Its next payout of $0.4876 will be paid on May 12.
In the last twelve months, CRH’s share price is up 25%. The stock is currently trading at 17 times its future earnings estimates.
Seagate Technology PLC (NASDAQ: STX) is a data storage company that is incorporated in Dublin, and headquartered in California. The company pays a quarterly dividend of $0.63 and has a dividend yield of approximately 5.4% (the average dividend yield in the industry is just 1.4%).
The stock has been very impressive to investors lately. Its most recent earnings release in January indicated a 82% increase in year-over-year earnings per share.
In the last twelve months, the stock price has increased 30%. Shares of Seagate are currently trading at 28 times its future earnings estimates.