This $24 Stock Is Set To Pay A Whopping $6.4 Dividend — Find Out More

As volatility continues in equity markets in the wake of the ongoing banking crisis and uncertainty regarding the Federal Reserve's future policy path doesn't add to investor confidence in the bond markets, high dividend paying stocks naturally become attractive.

What Happened: One such company that is scheduled to pay a huge dividend is an international cargo shipping company called ZIM Integrated Shipping Services Ltd ZIM.

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The firm is set to pay out a whopping $6.4 per share dividend on April 3 against its current share price of $24.38. When extrapolated for the whole year, the forward dividend yield happens to be an eye-popping 105%.

Attractive Yield: ZIM reported total revenues of $2.19 billion for the fourth quarter of 2022, compared to $3.47 billion for the same period in 2021, primarily driven by a decrease in freight rates. However, the stock still remains attractive given its lucrative dividend yield.

ZIM shares have gained over 43% since the beginning of the year but the stock is still below its 2022 highs of over $84. If one takes into account the $27.55 total dividends paid by the company last year, it still gives an impressive yield of over 32%, even when the stock's highest level is taken into consideration.

"Returning cash to shareholders remains a priority for our company, and we are pleased to have drawn on our strong performance to declare a fourth quarter dividend of approximately $769 million, or $6.40 per share. In total, we will be providing shareholders dividends of $2.04 billion, representing approximately 44% of total 2022 net income," Eli Glickman, ZIM President and CEO, stated during the company's earnings release.

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