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Looking for steady income in Malaysia’s exciting market?
High-yield stocks in Malaysia might grab attention, but income seekers crave stability.
That’s where high-dividend stocks come in! In Malaysia, dividend yields have typically hovered around 4%, offering a reliable way to earn regular cash from your investments.
Think of dividends like a slice of a company’s profits shared with you, the shareholder. This translates to predictable cash flow that strengthens your returns.
This guide dives into the top dividend stocks in Malaysia for 2024, helping you navigate this strategy and build a strong portfolio with a steady income.
Table of Contents
Top 10 High Dividend Stocks in Malaysia for 2025
Looking for steady income in Malaysia’s thriving stock market?
High-yield stocks are appealing, but income seekers often crave stability. High-dividend stocks in Malaysia offer a reliable way to earn steady cash flow, with average dividend yields historically around 4%. Dividends, a share of a company’s profits, provide predictable income, enhancing your investment returns.
This guide highlights the top 10 dividend stocks in Malaysia for 2025, helping you build a robust portfolio for consistent income.
| Company Name (Bursa Code) | Sector | Dividend Yield (%) | Key Strengths |
| RHB Bank Bhd (1066) | Financials | 7.45 | High yield despite moderate earnings growth. |
| Hap Seng Consolidated (3034) | Industrials | 5.80 | Stable dividends with a diversified business model. |
| Bank Islam Malaysia (5258) | Financials | 11.35 | Leading Shariah-compliant financial services provider. |
| IGB REIT (5227) | REIT | 7.15 | Strong portfolio of retail properties across Malaysia and international markets. |
| Bermaz Auto Bhd (5248) | Consumer Cyclical | 7.65 | Consistent dividend payouts supported by growth in Mazda vehicle sales. |
| Public Bank Bhd (1295) | Financials | 6.25 | A strong track record in retail banking with stable payouts. |
| Tenaga Nasional Bhd (5347) | Utilities | 6.00 | Solid earnings from electricity generation with stable dividends. |
| Hong Leong Industries (3301) | Consumer Cyclical | 6.20 | Sustained payouts backed by robust consumer product sales. |
| Genting Malaysia Bhd (4715) | Consumer Discretionary | 6.00 | Promising dividend growth from its resorts and casinos. |
| CIMB Group Holdings (1023) | Financials | 5.90 | Stable performance in Malaysia and ASEAN markets. |
1. RHB Bank Bhd (1066)
- Sector: Financials
- Dividend Yield: 7.45% (projected)
- Dividend Frequency: Semi-annual
- Profile: RHB Bank offers a consistent dividend yield, making it a reliable choice for income-focused investors. Despite slight moderation in earnings growth, it maintains a strong payout ratio.
2. Hap Seng Consolidated (3034)
- Sector: Industrials
- Dividend Yield: 5.80% (projected)
- Dividend Frequency: Semi-annual
- Profile: With interests spanning real estate, automotive, and plantations, Hap Seng ensures stability and diversification.
3. Bank Islam Malaysia (5258)
- Sector: Financials
- Dividend Yield: 11.35% (projected)
- Dividend Frequency: Semi-annual
- Profile: As a leader in Islamic banking, Bank Islam’s strong projected yield reflects robust financial performance.
4. IGB REIT (5227)
- Sector: REIT
- Dividend Yield: 7.15% (projected)
- Dividend Frequency: Semi-annual
- Profile: Focused on retail property investments, IGB REIT’s strong portfolio underpins its high yields.
5. Bermaz Auto Bhd (5248)
- Sector: Consumer Cyclical
- Dividend Yield: 7.65% (projected)
- Dividend Frequency: Quarterly
- Profile: Bermaz Auto’s consistent payouts are supported by solid sales growth in Mazda vehicles.
6. Public Bank Bhd (1295)
- Sector: Financials
- Dividend Yield: 6.25% (projected)
- Dividend Frequency: Semi-annual
- Profile: Public Bank offers a consistent dividend history, making it a staple for income investors.
7. Tenaga Nasional Bhd (5347)
- Sector: Utilities
- Dividend Yield: 6.00% (projected)
- Dividend Frequency: Annual
- Profile: Malaysia’s largest electricity provider maintains stable dividend payouts backed by strong earnings.
8. Hong Leong Industries (3301)
- Sector: Consumer Cyclical
- Dividend Yield: 6.20% (projected)
- Dividend Frequency: Semi-annual
- Profile: With interests in motorcycles and ceramics, Hong Leong Industries sustains a robust dividend record.
9. Genting Malaysia Bhd (4715)
- Sector: Consumer Discretionary
- Dividend Yield: 6.00% (projected)
- Dividend Frequency: Annual
- Profile: Genting Malaysia continues to grow its dividend capacity through diversified entertainment revenue streams.
10. CIMB Group Holdings (1023)
- Sector: Financials
- Dividend Yield: 5.90% (projected)
- Dividend Frequency: Semi-annual
- Profile: CIMB remains a stable performer in the ASEAN region with a consistent dividend policy.
Best Dividend Stocks in Malaysia with Low-Risk
Here are the three top dividend stocks in Malaysia in 2024 with low risk:
1. Pavilion Real Estate Investment Trust (PREIT)
- Sector: REIT
- Dividend Yield: 10.87% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
PREIT is a real estate investment trust (REIT) specialising in retail properties across Malaysia and Asia-Pacific.
Their earnings are expected to climb in 2024, leading to a projected dividend yield of 10.87%.
This increase is due to a rise in projected earnings per share and a higher dividend payout ratio (75%).
2. Malayan Banking Bhd (Maybank)
- Sector: Financials
- Dividend Yield: 6.46% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
Maybank, a leading financial services group in Southeast Asia, is one of the high-yield stocks in Malaysia, offering a reliable dividend stream.
While their earnings are expected to increase slightly in 2024, the projected dividend payout ratio (74.94%) keeps the dividend yield consistent with historical averages (around 6.46%).
This makes Maybank a good option for investors seeking a steady income source.
3. IGB Real Estate Investment Trust (IGB REIT)
- Sector: REIT
- Dividend Yield: 7.03% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
Another high-yield stock in Malaysia – IGB REIT focuses on retail property investment in Malaysia and internationally.
Their earnings are projected to grow in 2024, leading to a potentially high dividend yield of 7.03%.
However, keep in mind that their projected dividend payout ratio is quite high (103.81%), which might raise some questions about the long-term sustainability of this level of payouts.
High-Dividend Stocks in Malaysia with Huge Growth
Here are three more of the best dividend stocks in Malaysia with growth opportunities in 2024:
1. Axiata Group Bhd
- Sector: Communication Services
- Dividend Yield: 5.75% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
Axiata, a telecommunications company, is experiencing an earnings recovery in 2024.
This is expected to translate to a higher-than-average dividend yield of 5.75%.
However, the projected payout ratio is quite high (136%), so consider the long-term sustainability of this payout level before investing.
2. Hap Seng Consolidated Bhd
- Sector: Industrials
- Dividend Yield: 5.32% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
Hap Seng, a diversified holding company, offers a consistent dividend payout history (around 80%).
While earnings in 2024 are projected to be slightly lower than 2023, the expected payout ratio of this best dividend stock in Malaysia should maintain a dividend yield of 5.32%, making it a good option for income-oriented investors seeking stability.
3. Hong Leong Industries Bhd
- Sector: Consumer Cyclical
- Dividend Yield: 6.12% (projected)
- Dividend Frequency: Semi-annual
- Reason to Consider:
Hong Leong Industries, a consumer products company focused on motorcycles and ceramics, offers a projected dividend yield of 6.12% in 2024, exceeding historical averages.
However, the high payout ratio (118.28%) suggests potential limitations in long-term sustainability. Further research is recommended before investing.
Understanding High-Dividend Stocks
In the Malaysian context, high dividend stocks are not strictly defined. Generally, it is mostly stocks with a dividend yield consistently above the market average.
Historically, dividend yields in Malaysia have hovered around 4%, so stocks with yields significantly higher (e.g., 5% or above) could be considered top dividend stocks in Malaysia.
Understanding Key Metrics for Best Dividend Stocks in Malaysia
Metric #1 – Dividend Yield:
- This metric expresses the annual dividend payout as a percentage of the current stock price.
- It tells you how much income you will receive per dollar invested each year.
- Formula : (Dividend Paid / Stock Price ) x 100%
- For example, if a stock is priced at RM10 and pays a yearly dividend of RM0.50, the dividend yield would be 5% (RM0.50 / RM10 x 100%).
Metric #2 – Dividend Growth Rate:
- This metric indicates how much a company’s dividend payouts have increased year-over-year.
- A high and consistent growth rate suggests a company’s commitment to rewarding shareholders and potentially strong financial health.
- This information is usually public information and can be retrieved from quarterly/annual reports.
- Note: Past payout is not a good indicator of future dividend payouts. Use this information to understand the capability of the company instead.
Factors Influencing Dividend Payouts
Several factors influence how much and how often a company pays dividends:
Factor #1 – Profitability:
Companies need sufficient profits to distribute dividends. A company experiencing declining profits might be forced to cut or eliminate dividends.
Factor #2 – Maturity:
Established companies in mature industries with steady cash flow are more likely to prioritise consistent dividend payouts.
Factor #3 – Debt Levels:
High debt levels can limit a company’s ability to pay dividends as they may need to prioritise debt repayment.
Factor #4 – Growth Plans:
Companies with ambitious growth plans may reinvest a larger portion of their profits back into the business, potentially leading to lower or stagnant dividend payouts.
Risks Associated with High-Dividend Stocks in Malaysia
While high-yield stocks in Malaysia offer the allure of steady income, they also come with certain risks:
Risk #1 – Sustainability:
A high dividend yield can sometimes signify a struggling company trying to attract investors. The company might not be able to sustain high payouts in the long run.
Risk #2 – Lower Growth Potential:
Companies prioritising high dividends may be less likely to invest in research and development, potentially hindering future growth prospects.
Risk #3 – Market Volatility:
Dividend-paying stocks, especially those in mature industries, might not experience the same price appreciation as high-growth stocks during bull markets.
Conclusion
The Malaysian stock market offers great options for investors seeking high-yield stocks. When picking high-dividend stocks in Malaysia, consider the company’s financial health, payout history, and dividend sustainability. Sectors like REITs and utilities often provide stable dividends, especially during downturns. Look for companies that balance dividends with growth potential.
Focus on the top dividend stocks to build a high-yield portfolio in Malaysia. Always research and consult a financial advisor to ensure a strategy that supports income and long-term growth.
FAQs
Disclaimer:
This article is only offered for general informational reasons and is not meant to cover all facets of the subjects it addresses. It is not meant to be taken as legitimate investment advice you should rely on. You must seek expert or professional advice before acting or refraining from acting based on the information in this publication. The content in this publication does not represent advice from the BizTech Community. Past performance does not always guarantee a comparable outcome. We give no assurances that the information in the publication is accurate, full, or up to date, either explicitly or implicitly.