Dividend forecasts: 3 FTSE 100 stocks with 6%+ yields

The recent market rally has pushed down the dividend yield in some popular FTSE 100 stock. I’ve looked at the latest dividend estimates to look for stocks to buy right now.

HSBC Holdings: bounce back

After a rough patch during the pandemic, HSBC Holdings (LSE: HSBA) looks set to bounce back. Rising interest rates have helped rebuild the group’s profits, which rose from $5.3 billion to nearly $14 billion last year.

Brokerage forecasts suggest this profit growth will continue until 2023. This is expected to generate the bank’s dividend, which could return to the pre-pandemic level of $0.50 per share this year.

Forecasts are never guaranteed, of course. But if City analysts are right, then HSBC shares now offer a 6.8% dividend yield.

Overall, I see this as a very safe bank to invest in. My only concern is the political risk that comes from the bank’s reliance on the Chinese and Hong Kong markets. Some shareholders are calling for the bank to be separated, although I believe this will not happen.

Overall, I think HSBC shares look attractive for income seekers at current levels.

Taylor Wimpey: cheap house builder?

Now doesn’t seem like a logical time to buy home stocks. The market is slowing down and things could get worse.

However, shares in the FTSE 100 housebuilder Taylor Wimpey (LSE: TW.) has fallen 40% over the past five years. They now trade in line with their book value of 120p per share. In other words, stock prices are supported by cash, land, and property.

There is a risk that the UK will fall into a deeper recession than expected. Property prices may fall, reducing the support of stock assets.

However, Taylor Wimpey ended last year with net cash of £864m. This should provide a large safety buffer to offset the impact of slowing sales.

I think it looks well prepared for the downturn and is reasonably priced. With a forecast dividend yield of 7%, I think this could be a good time to pick up some stocks for a long-term portfolio.

Port Energy: too cheap?

North Sea oil and gas producer Port Energy (LSE: HBR) divided investors. Some say that with the stock trading at three times the prediction, this business is clearly too cheap.

Other investors may argue that most of the group’s fields are mature and will face large decommissioning costs in the coming years.

Oil prices may fall, and it is likely that future financing will be more expensive than before. Interest rates are rising and investors are not as willing to lend money to oil producers as they used to be.

The port is close to paying off the mountain of debt it inherited from Premier Oil. I suspect that the management of the company will choose to save money when oil prices are high.

On balance, I think Harbor Shares are probably a bit cheap at the moment, but I don’t think they’re a screaming bargain.

However, the 7% dividend forecast for 2023 looks pretty safe to me, so I think Harbor is worth considering.