7 months ago
Three Zero-Debt, High-Dividend Stocks to Watch
Investors who want stable and consistent returns often look for companies that pay high dividends and have little to no debt.
In India, three such companies stand out: Coal India, Castrol India, and ITC.
Coal India is the world's largest coal producer and has been paying dividends every year since 2010.
It has a very low debt-to-equity ratio and a high dividend yield.
Castrol India, a small-cap company, has been paying dividends since 2000 and has no debt.
It is also expanding into new areas like electric vehicles and data center cooling.
ITC, a leading FMCG company, has been paying dividends for over 25 years and has no debt.
However, it faces challenges due to recent tax hikes on tobacco products.
All three companies are good options for investors looking for stable, high-dividend stocks.
Coal India is the world's largest coal producer with a monopoly in India, offering a high dividend yield of 6.2% in FY25 and a low debt-to-equity ratio.
Castrol India, a small-cap company, has been paying dividends since 2000 with a current yield of 4.5% and no debt, while expanding into EVs and data center cooling.
ITC, a leading FMCG company, has paid dividends for over 25 years with a current yield of 4.2% and no debt, but faces challenges from recent tobacco tax hikes.
All three companies have shown consistent growth and stability, making them attractive for investors seeking high-dividend, low-debt stocks.
Financial performance varies, with Coal India and ITC seeing slight dips in sales but stable profits, while Castrol India shows growth in both sales and profits.
- Who
- Investors looking for financial stability and steady returns
- What
- Three zero-debt, high-dividend stocks: Coal India, Castrol India, and ITC
- Where
- India
- When
- For the year 2026
- Why
- To provide consistent cash flows and stable returns
Key facts
- Coal India Dividend Yield (FY25)
- 6.2%
- Coal India Dividend Payout Ratio (FY25)
- 46%
- Castrol India Dividend Yield (2024)
- 4.5%
- Castrol India Dividend Payout Ratio (2024)
- 139%
- ITC Dividend Yield (FY25)
- 4.2%
- ITC Dividend Payout Ratio (FY25)
- 52%
- Coal India Debt-to-Equity Ratio (FY22 onwards)
- Below 0.1
- Castrol India Debt-to-Equity Ratio (2024)
- 0.04
- ITC Debt-to-Equity Ratio (FY25)
- 0.01
- Coal India Sales (Q2FY26)
- ₹30,187 crore
- Coal India Profit (Q2FY26)
- ₹4,263 crore
- Castrol India Sales (Q2 2025)
- ₹1,363 crore
- Castrol India Profit (Q2 2025)
- ₹228 crore
- ITC Sales (Q2FY26)
- ₹19,502 crore
- ITC Profit (Q2FY26)
- ₹5,187 crore
