Dividend investors have some hot full-year results coming their way in March, all offering tempting high yields. Let’s start with a look at Aberdeen Group (LSE: ABDN), due to report on Tuesday (3 March) — with a forecast 6.6% yield.
The investment management company has had a tough five years, down 33%. But it’s been staging something of a comeback since early 2025 — up 78% since its 52-week low last April.
The main concern I think investors have to watch is that the dividend hasn’t risen in the past few years. And forecasts show it not moving for the next three years either. Over a period of high inflation, the cash value of the Aberdeen dividend has been falling in real terms.
January’s Q4 trading update revealed a 9% rise in assets under management. And the firm’s investment platform saw growth of 500,000 new customers. Aberdeen sounds like a long-term income investment to consider — but I want to see those dividend grow.
Building back
Taylor Wimpey (LSE: TW.) gives us the full 2025 lowdown on 5 March. And this time we’re looking at a fat 8.3% predicted yield. The house builder earlier announced 10,614 UK home completions excluding joint ventures, up from 9,972 in 2024. That’s around the middle of management’s guidance range.
The overall average selling price edged up to £335k, from £319k. At the end of December we were looking at an order book valued at £1,864m, down a bit from £1,995m the previous December.
Net cash declined a bit, from £565m at the end of 2024 to £343m. And that might raise a little concern about the dividend. Analysts see it steady, but not rising in the next few years — and only barely covered by earnings by 2027.
So a dividend cut is the biggest danger I think I see — and I’d expect it to cause a share price dip. But I reckon long-term investors could do well to consider all the main UK house builders.
Insurance cash cow
It’s the turn of Legal & General (LSE: LGEN) on 11 March, with its forecast 7.9% dividend yield currently the biggest on the FTSE 100. Forecasters don’t expect 2025 earnings to cover the dividend. But they do see cover returning in 2026, and then growing in 2027.
I think my biggest concern right now is a forward price-to-earnings (P/E) ratio of 16. That might seem good — and barely above the Footsie’s long-term average — by usual standards. But this can be a very cyclical sector. And I’m not sure the current share price has enough safety room to cope with any volatility downturn.
But for investors who aren’t worried about short-term ups and downs? I see Legal & General as a potential long-term cash cow. And I definitely rate it as one of my top income possibilities right now. In fact, I’m thinking of adding to my same-sector holding in Aviva.
