Dividend Stocks: Dividend-paying companies remain a major draw for investors seeking regular income along with long-term stability. A dividend represents a portion of a company’s profits that is distributed to shareholders, typically on a quarterly or annual basis.
One key metric used to assess the attractiveness of a dividend-paying stock is the dividend yield, which is calculated as the annual dividends paid divided by the stock’s current market price. A higher dividend yield generally suggests stronger income potential, though investors also look at profitability, cash flows and sector trends before making a choice.
According to data compiled by Axis Securities, several small-cap names stand out for delivering robust dividend yields. Below are 10 top 10 small-cap dividend stocks with yield over 6%, each demonstrating resilience and income potential.
Let’s take a look
1. MSTC – Dividend Yield: 8%
MSTC leads the small-cap list with an impressive 8% dividend yield. With a CMP of ₹479 and total dividends of ₹36.5 distributed over the past year, the company continues to show steady profitability and strong cash flows. In 2025, MSTC announced several payouts, including a ₹4.50 per share third interim dividend (ex-date April 2, 2025) and a large second interim dividend of ₹32 per share in February 2025. Earlier, in 2024, MSTC issued multiple dividends— ₹4 in November, ₹5 in September and ₹5 in February.
2. PTC India – Dividend Yield: 7%
PTC India maintains its position as a reliable dividend payer in the utilities sector. With a CMP of ₹158 and dividend payments totalling ₹11.7 over the past 12 months, the yield stands at 7%. During 2025, PTC issued two dividends: an interim dividend of ₹5.00 per share (ex-date May 5, 2025) and a final dividend of ₹6.70 per share (ex-date August 1, 2025), reinforcing its consistent distribution record.
3. Castrol India – Dividend Yield: 7%
Castrol India continues to deliver strong shareholder returns, offering a 7% dividend yield based on ₹13 paid over the last year and a CMP of ₹184. In 2025, the company announced two dividends: a final dividend of ₹9.50 per share (including a ₹4.50 special dividend) with an ex-date of March 18, 2025, paid by April 23; and an interim dividend of ₹3.50 per share with an ex-date of August 10, 2025, paid by September 2. These payouts highlight Castrol’s steady profit generation.
4. Thyrocare Technologies – Dividend Yield: 7%
Thyrocare, a prominent diagnostics company, delivered a 7% yield backed by ₹28 in dividends and a CMP of ₹429. In 2025, the company declared two significant dividends: a final dividend of ₹21 per share (record date July 25, 2025) and an interim dividend of ₹7 per share (record date October 24, 2025). Both were issued after strong performance and followed a notable 2:1 bonus issue around the October payout.
5. CESC – Dividend Yield: 6%
CESC continues to offer dependable income for investors with a 6% dividend yield based on ₹10.5 distributed over the past year and a CMP of ₹171. In 2025, the company paid two interim dividends: ₹4.50 per share with an ex-date of January 16, 2025, and ₹6.00 per share with an ex-date of October 27, 2025. The second payout followed strong Q2 FY2025–26 results and reaffirmed the company’s consistent dividend policy.
6. Honda India Power Products – Dividend Yield: 6%
Honda India Power Products stands out in the industrial segment with ₹131.5 paid in dividends over the past 12 months, resulting in a 6% yield at its CMP of ₹2,336. In 2025, the company issued multiple payouts, including a ₹10 per share special/interim dividend (record date February 18) and a ₹21.50 per share final dividend for FY25 (record date September 18). These distributions reflect strong earnings and a solid financial position.
