5 Highest Yielding ASX Dividend Stocks in FY22

As fiscal 2022 draws to a close, it’s a good time to look back and assess the state of the ASX stock market as we move into FY2023. So today let’s take a look at the ASX Dividend Shares which had the highest yield in FY2022.

Remember, a trailing dividend yield represents what the company has paid in the past 12 months, not what investors can expect in the future. So don’t get too carried away when you see some of these dividend yields in excess of 12% – many won’t deliver such returns in FY2023.

The 5 ASX Dividend Stocks With The Highest FY22 Returns

Our first ASX dividend stock to check out is BHP Group Ltd (ASX: HP)† BHP has always been known as a strong dividend payer. But in FY2022, the Big Australian paid the highest level of raw dividend payments in its history.

The mining giant has made a whopping $4.80 in full stamped dividend per share. That gives BHP stocks a trailing return of 12.58% today.

Our next stock to look at is asset manager Platinum Asset Management Ltd (ASX: PTM)† In FY2022, Platinum funded a total of 22 cents per share in fully prepaid dividends. That wasn’t the biggest payout investors have gotten from Platinum.

For example, the fund manager paid out 47 cents per share in 2015. However, Platinum stocks are down 62.85% in the past 12 months. As a result, the company’s lagging yield has risen to 12.68% from current pricing, making it one of the top-performing stocks in FY2022.

On paper, Tabcorp Holdings Limited (ASX: TAH) also looks like a dividend winner. The FY2022 total of 13.5 cents per share, fully postage paid, was down from the previous year’s 14.5 cents per share.

But at the current Tabcorp share price, that still gives us a trailing return of 12.83%. However, this does not reflect the spin-off of Lottery Corporation Ltd (ASX: TLC) which was completed in May.

With this substantial portion of Tabcorp’s business standing on its own, it’s highly unlikely that the company will be able to continue funding its dividends with the same watermark.

From a return of 12% to 18%?

Another miner in Fortescue Metals Group Limited (ASX: FMG) is the penultimate winner of FY2022’s ASX dividend stock. Like BHP, Fortescue inundated shareholders with unprecedented amounts of cash in the past fiscal year. The FY2022 total was $2.97 per share, fully postage paid.

That was another big increase from the $2.47 total in FY2021. That’s enough to give Fortescue stock a dividend yield of 17.66%. Like BHP, Fortescue’s ability to continue paying these types of dividends will be determined by what the price of iron ore does in FY2023.

Our final and highest-yielding ASX dividend share from FY2022 is none other than: Magellan Financial Group Ltd (ASX: MFG)† Unfortunately for shareholders, this is another instance where a stock price decline has largely pushed up the company’s lagging dividend yield.

Shares of Magellan are down nearly 75% in the past 12 months. As a result, Magellan’s last two dividend payments, totaling $2.24 per share (franked at 75%), give Magellan a monstrous follow-up return of 18.57% at current pricing.

Yes, Magellan also just paid the largest dividend in its history for FY2022. However, the company has been going through an extremely difficult period of late. We won’t go into too much detail here.

But the steep drop in Magellan’s funds under management from $116.4 billion in November 2021 to $65 billion by May 31, 2022 is likely to hold back the company’s ability to maintain these types of payments in FY2023.

So these are our five highest yielding stocks of FY2022 as it stands. Keep in mind that many of these stocks could well be dividend traps in the future. So don’t get too carried away with what looks like an unbeatable dividend yield.