Investors looking for stable dividend stocks with safe payouts should focus on stocks with low payout ratios.
The dividend payout ratio is simply a company’s annual per-share dividend, divided by the company’s annual earnings-per-share. It is a measure of the level of earnings a company distributes to its shareholders via dividends.
The payout ratio is a valuable investing metric because it differentiates the safest dividend stocks that have low payout ratios that room for dividend growth, from companies with high payout ratios whose dividends may not be sustainable.
This article will discuss 3 low payout ratio stocks that also have high dividend yields.
1. Bristol-Myers Squibb (BMY)
Bristol-Myers Squibb is a leading drug maker of cardiovascular and anti-cancer therapeutics, and has annual revenues of about $46 billion.
On October 30th, 2025, Bristol-Myers reported third quarter results for the period ending September 30th, 2025. For the quarter, revenue grew 2.8% to $12.2 billion, which was $420 million above estimates. Adjusted earnings-per-share of $1.63 compared unfavorably to $1.80 in the prior year, but this was $0.11 more than expected.
Excluding currency exchange, sales were up 2%. U.S. revenues grew 1% to $8.3 billion. International grew 6% to $3.9 billion, but revenue was up 3% when excluding currency exchange.
Eliquis, which prevents blood clots, grew 25% to $3.75 billion as demand was strong for the product. Eliquis remains the top oral anticoagulant outside of the U.S. and generated more than $13 billion in revenue for 2024, which was a 9% increase from the prior year. Opdivo, which treats cancers such as advanced renal carcinoma, was higher by 7% to $2.5 billion as global demand remains high.
Bristol-Myers provided revised guidance for 2025 as well. Adjusted earnings-per-share are now projected to be in a range of $6.40 to $6.60 for the year. The company’s competitive advantage is its ability to either create (through research & development) or acquire patents for pharmaceuticals with high potential revenue. Bristol-Myers top selling pharmaceuticals, such as Opdivo and Eliquis, have largely shown solid growth rates and are expected to see high peak annual sales.
With a 2025 payout ratio of 38%, BMY has a safe dividend and currently yields 5.2%.
2. Sonoco Products (SON)
Sonoco Products provides packaging, industrial products and supply chain services to its customers. The markets that use the company’s products include those in the appliances, electronics, beverage, construction and food industries.
The company generates more than $5 billion in annual sales. Sonoco Products is now composed of 2 major segments, Consumer Packaging, and Industrial Packaging, with all other businesses listed as “All Other”.
On October 22nd, 2025, Sonoco Products reported third quarter results for the period ending September 28th, 2025. For the quarter, revenue grew 57.8% to $2.13 billion, but this was $20 million below expectations. Adjusted earnings-per-share of $1.92 compared to $1.49 in the prior year, but this was $0.01 below estimates.
Revenues and earnings once again benefited from the addition of Eviosys. For the quarter, Consumer Packaging revenues were up 117% to $1.44 billion, mostly due to contributions from Eviosys. Results were also aided by price increases that were implemented to offset tariffs and favorable currency exchange rates.
Industrial Paper Packing sales were unchanged at $585 million as price increases were offset by weaker volume following two plant divestitures in China last year. All Other grew 1% to $108 million as volume gains in temperature-assured packaging was only partially offset by lower volume in industrial plastics.
Sonoco Products provided an updated outlook for 2025 as well, with the company now expecting adjusted earnings-per-share in a range of $5.65 to $5.75 for the year, down from ~$6.00 previously.
SON has a 2025 expected dividend payout ratio of 37%, the dividend is safe.
3. NewtekOne Inc. (NEWT)
NewtekOne, previously a business development company focused on financial services and SBA lending for small- and medium-sized businesses, became a financial holding company in January 2023 after acquiring the National Bank of New York City.
Today, it primarily operates as a bank holding company, providing traditional banking services such as deposits and lending, alongside business solutions such as payment processing, payroll management, technology, and insurance services.
NewtekOne’s financial reporting now consolidates results from its banking operations and various subsidiaries, reflecting a fully integrated financial services platform. The company generated $81.1 million in net interest income last year.
On October 29th, 2025, Newtek posted its Q3 results. Net income was $17.9 million, or diluted earnings per share of $0.67, representing a 49% increase from the prior year. Net interest income came in at $14.5 million, up 32.5% from Q3 2024.
Total revenue reached $74.9 million, marking a 19.3% rise year-over-year. Total assets stood at $2.40 billion, up from $2.06 billion at year-end 2024, while book value per common share grew 16.4% year-over-year to $11.72.
The company’s Alternative Loan Program loan originations totaled $104 million for the quarter, compared to $66 million in the same period last year. Return on tangible common equity (ROTCE) and return on average assets (ROAA) were 23.7% and 3.06%, respectively.
With a projected 2025 dividend payout ratio of 33%, NEWT’s high dividend payout appears safe.
Get the complete list of Low Payout Ratio Stocks With High Dividend Yields here
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3 High Dividend Stocks With Low Payout Ratios
