The average dividend yield in the S&P 500 Index remains low at around 1.3%. As a result, many stocks have lower dividend yields than they did several years ago, due to rising share prices. 

However, there are still quality dividend stocks with high dividend yields.

Importantly, the best high dividend stocks can maintain their dividends over time, even during recessions.

These 3 dividend stocks have yields above 5%, and have secure dividend payouts.

LCNB Corp. (LCNB)

LCNB Corp. is a Ohio-based financial holding company providing banking and insurance services through its subsidiaries, LCNB National Bank and Dakin Insurance Agency, Inc. The company reported $2.35 billion in total assets as of September 30th, 2024.

LCNB National Bank offers consumer and commercial banking services, including checking and savings accounts, certificates of deposit, and loans for residential mortgages, commercial real estate, and personal needs.

Dakin Insurance Agency provides personal and commercial insurance products and annuity services. LCNB also offers trust administration, estate settlement, and investment management services, as well as financial products like mutual funds, annuities, and life insurance.

On October 21st, 2024, LCNB Corp. released its third-quarter results for the period ending September 30th, 2024. For the quarter, the company reported a net income of $4.5 million, or $0.31 per diluted share, compared to $4.1 million, or $0.37 per diluted share, in the same quarter last year.

During the past five years, the company’s dividend payout ratio has averaged around 53%. LCNB Corp’s dividend is comfortably covered by earnings. Given the expected earnings growth, there is room for the dividend to continue to grow at least at the same pace and keep the payout ratio around the same levels which is safe.

LCNB has increased its dividend for 7 consecutive years and the stock currently yields 5.4%.

Huntsman Corp. (HUN)

Huntsman Corporation manufactures and sells differentiated organic chemical products worldwide. It operates in four segments: Polyurethanes, Performance Products, Advanced Materials, and Textile Effects.

The company’s products are utilized in various industries, in manufacturing anywhere from aerospace, automotive, and construction products, to packaging, coatings, and power generation.

On November 4th, 2024, Huntsman released its Q3 and results for the period ending September 30th, 2024. For the quarter, revenues grew 2.3% year-over-year to $1.54 billion.

Specifically, Polyurethanes saw a revenue increase of 4%. Performance Products and Advanced Materials revenues grew by 1% and declined by 3% respectively. Still, the weak total increase in revenues wasn’t enough to lift margins.

On a per-share basis, this translates to adjusted income of $0.10 versus adjusted income of $0.15 in Q3 2023. This was despite buybacks notably lowering the per-share result.

Huntsman’s acquisitions have been unlocking synergies over the past decade, resulting in higher gross margins during this time, which has somewhat offset the declining sales. 

While EPS has been volatile and is expected to continue to be so, we forecast growth of 5% from our earnings power base of $1.65 in the medium-term, powered by the company’s cost-cutting initiatives, acquisitions, rebounding sales growth trend, and share buybacks.

HUN stock currently yields 5.5%.

Carter’s Inc. (CRI)

Carter’s, Inc. is the largest branded retailer of apparel exclusively for babies and young children in North America. It was founded in 1865 by William Carter. The company owns the Carter’s and OshKosh B’gosh brands, two of the most known brands in the children’s apparel space.

Carter’s acquired competitor OshKosh B’gosh for $312 million in 2005. Now, these brands are sold in leading department stores, national chains, and specialty retailers domestically and internationally.

On October 26th, 2024, the company reported third-quarter results for Fiscal Year (FY)2024. The company reported a decline in third-quarter fiscal 2024 results, with net sales down 4.2% to $758 million compared to the previous year’s $792 million.

Carter's reaffirmed its fiscal 2024 outlook, projecting net sales between $2.785 billion and $2.825 billion and raising its adjusted diluted EPS outlook to $4.70–$5.15. Liquidity remains strong with $1.02 billion in available funds, and the company returned $138 million to shareholders through dividends and share repurchases.

Some of the growth prospects that will drive higher revenue and earnings will be that the company continues to lead in eCommerce. Over the next five years, the company expects eCommerce sales to grow to nearly 50% of its total U.S retail sales. 

Another growth driver will come from the company's "Age Up" initiative. This initiative focuses on apparel sales for children ages four to 10 years old. This older age apparel market is larger than the combined baby and toddler apparel markets.