Just released: our 3 best dividend-focused stocks to buy before May [PREMIUM PICKS]

Our goal here is to highlight some of our past recommendations that we think are of particular interest today, due to a combination of business performance and potentially attractive share valuation.

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When investing, your capital is at risk. The value of your investments can go down as well as up and you may get back less than you put in.

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The content of this article is provided for information purposes only and is not intended to be, nor does it constitute, any form of personal advice. Investments in a currency other than sterling are exposed to currency exchange risk. Currency exchange rates are constantly changing, which may affect the value of the investment in sterling terms. You could lose money in sterling even if the stock price rises in the currency of origin. Stocks listed on overseas exchanges may be subject to additional dealing and exchange rate charges, and may have other tax implications, and may not provide the same, or any, regulatory protection as in the UK.

Premium content from Motley Fool Share Advisor UK

Our monthly Ice Best Buys Now are designed to highlight our team’s three favourite, most timely Buys from our growing list of income-focused Ice recommendations, to help Fools build out their portfolios.

“Best Buys Now” Pick #1:

B&M European Value Retail (LSE: BME)

  • Once again B&M performed well over the Golden Quarter and closed out another great year. Total FY24 revenue grew 10.1% to £5.5bn thanks to like-for-like growth from all its brands and the addition of new stores. 
  • Adjusted EBITDA of £629m represents a nearly 10% uplift against the prior year and demonstrates the operational strength of this discounter that has reliably generated profits and cash flow while many competitors have struggled in the face of subdued consumer confidence and high inflation. 
  • Net debt reduced to 1.2 times adjusted EBITDA at year end thanks to that cash flow, which means further special payouts are in the offing even after paying out another £201m to shareholders in February. 
  • B&M’s trailing yield isn’t the largest on the market at 2.9%. But add in special dividends and we think the company’s combination of present day income and growth potential make it an ideal Ice share to consider in April. 

“Best Buys Now” Pick #2:

Redacted

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Should you invest, the value of your investment may rise or fall and your capital is at risk. Before investing, your individual circumstances should be assessed. Consider taking independent financial advice.

The Motley Fool UK has recommended B&M European Value Retail.  Ian Pierce owns shares of B&M European Value Retail.

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