As the U.S. market looks to rebound from last week's sell-off, with major indexes like the Dow Jones and S&P 500 inching higher, investors are closely watching economic indicators that could influence interest rate decisions. In this climate of cautious optimism, dividend stocks yielding up to 3.5% can offer a measure of stability and income potential for those seeking reliable returns amidst market fluctuations.

Top 10 Dividend Stocks In The United States

Click here to see the full list of 141 stocks from our Top US Dividend Stocks screener.

Let's explore several standout options from the results in the screener.

ChoiceOne Financial Services

Simply Wall St Dividend Rating: ★★★★★☆

Overview: ChoiceOne Financial Services, Inc. is a bank holding company for ChoiceOne Bank, offering banking services to corporations, partnerships, and individuals in Michigan with a market cap of $286.09 million.

Operations: ChoiceOne Financial Services, Inc. generates its revenue primarily through its banking segment, which accounted for $91.81 million.

Dividend Yield: 3.5%

ChoiceOne Financial Services has shown consistent dividend growth, recently increasing its quarterly dividend to $0.28 per share. The company's dividends are well-covered by earnings, with a payout ratio of 33.3%, indicating sustainability. Despite trading below fair value estimates, its dividend yield of 3.51% is lower than the top quartile in the US market but remains reliable and stable over the past decade. Recent earnings growth supports future dividend payments despite slight shareholder dilution last year.

• Unlock comprehensive insights into our analysis of ChoiceOne Financial Services stock in this dividend report.
• Insights from our recent valuation report point to the potential undervaluation of ChoiceOne Financial Services shares in the market.

Mercantile Bank

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Mercantile Bank Corporation, with a market cap of $769.16 million, operates as the bank holding company for Mercantile Bank of Michigan, offering commercial and retail banking services to small- to medium-sized businesses and individuals in the United States.

Operations: Mercantile Bank Corporation generates revenue primarily through its banking segment, which accounts for $224.08 million.

Dividend Yield: 3.1%

Mercantile Bank's dividend growth is evident with a recent increase to $0.37 per share, marking improvements over last year's payouts. The dividend yield of 3.11% falls short of the top US payers but remains reliable and stable over the past decade, supported by a low payout ratio of 28.8%. Despite earnings slightly declining in 2024, dividends are well-covered by earnings and forecasted to remain sustainable in three years at a 30.5% payout ratio.

• Get an in-depth perspective on Mercantile Bank's performance by reading our dividend report here.
• Our valuation report here indicates Mercantile Bank may be undervalued.

Prosperity Bancshares

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Prosperity Bancshares, Inc. is a bank holding company for Prosperity Bank, offering financial products and services to businesses and consumers, with a market cap of approximately $7.29 billion.

Operations: Prosperity Bancshares, Inc. generates its revenue primarily through its banking segment, which accounted for $1.18 billion.

Dividend Yield: 3%

Prosperity Bancshares has consistently increased its dividend over the past decade, with a recent declaration of $0.58 per share for Q1 2025. Its dividend yield of 3.03% is lower than the top US payers but remains stable and reliable, supported by a low payout ratio of 44.8%, forecasted to decrease to 32.6% in three years, ensuring sustainability. Earnings rose by 14.3% last year, with net income reaching US$479 million, reinforcing dividend coverage despite insider selling concerns.

• Click here to discover the nuances of Prosperity Bancshares with our detailed analytical dividend report.
• Our expertly prepared valuation report Prosperity Bancshares implies its share price may be lower than expected.

Where To Now?

• Unlock more gems! Our Top US Dividend Stocks screener has unearthed 138 more companies for you to explore.Click here to unveil our expertly curated list of 141 Top US Dividend Stocks.
• Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks.
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Curious About Other Options?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include NasdaqCM:COFS NasdaqGS:MBWM and NYSE:PB.

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