Dividend investing sounds simple enough. Buy shares in a company, hold them, and get a portion of its profits as cash.
But not every stock that pays a dividend is a good investment, and a high yield can sometimes hide bigger risks.
To understand what investors should look for, we spoke with Opeyemi Ogunsanya, a web developer and finance content creator, about how to assess dividend stocks and the Nigerian shares worth watching in 2026.

What Makes a Dividend Stock Worth Buying
Before we get to the list, Ogunsanya shared how he screens a company before investing. "The first thing I check is the company's dividend history over the last five to 10 years," he explained, adding that he can accept three years for a newer stock.
He also has a personal cutoff for yield. His minimum is 7%, because that number lets him recover his original investment through dividends alone within five to seven years, while the share price hopefully grows too.
But a high yield alone doesnโt mean the dividend is safe. Ogunsanya warned that some companies pay dividends from retained earnings instead of from what they made that year, which is a red flag. He also looks closely at the sector the company sits in and how strong its retained earnings are, since these tell you whether the payout can survive a bad year.
The Seven Stocks You Should Watch in 2026
Based on recent dividend history and performance, Ogunsanya named seven companies:
/1. GTCO
GTCO paid a total dividend of โฆ12.76 per share for the 2025 financial year, made up of a โฆ1.00 interim payout and an โฆ11.76 final dividend, a 59% jump from the โฆ8.03 paid in 2024. Thatโs the highest dividend ever declared by a Nigerian bank, and it works out to a yield near 10% even though profit dipped for the year.
/2. Zenith Bank
Zenith Bank doubled its payout for 2025, moving from โฆ5.00 in 2024 to โฆ10.00, split between a โฆ1.25 interim and an โฆ8.75 final dividend. This came after the bank posted about โฆ1.04 trillion in profit after tax, and shareholders received roughly โฆ410 billion in total.
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