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5 Tech Stocks That You've Never Heard of Pay Big High-Yield Dividends

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Dividend stocks are a favorite among investors for good reason. They provide a steady income stream of passive income and offer a promising avenue for total return. Total return, a comprehensive measure of investment performance, encompasses interest, capital gains, dividends, and distributions realized over time.

Let’s take a closer look at the concept of total return. Imagine you purchase a stock at $20 that offers a 3% dividend. If the stock price rises to $22 within a year, your total return is 13%. This is calculated by adding the 10% increase in stock price to the 3% dividend.

One solid way to generate total return gains is to find companies that are off the investing radar but have enormous upside potential. We screened our 24/7 Wall St. technology research universe, looking for companies that paid high-yield dividends that were virtually unknown.

Five companies emerged, and while one or two may ring a bell, they are likely not front and center with most growth and income investors. All make sense for those with a higher risk tolerance looking for attractive dividend stocks somewhat hidden away from the proverbial big boys in the technology space.

Why do we cover dividend stocks?

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Dividend stocks provide investors with reliable streams of passive income. Passive income is characterized by its ability to generate revenue without requiring the earner’s continuous active effort, making it a desirable financial strategy for those seeking to diversify their income streams or achieve financial independence.

Autohome

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Autohome is the leading online destination for automobile consumers in China.

Offering a big 6.84% dividend and trading at a very reasonable 11.6 times earnings estimates, this company could be a big winner. Autohome Inc. (NYSE: ATHM) operates as an online destination for automobile consumers in the People’s Republic of China.

The company delivers interactive content and tools to automobile consumers through its websites, autohome.com.cn, che168.com, and ttpai—Cn on PCs, mobile devices, mobile applications, and mini apps.

It provides media services, including automaker advertising services and regional marketing campaigns, and leads generation services comprising dealer subscription services, advertising services for individual dealers, and used automobile listing and other platform-based services.

The company offers Autohome Mall, an online transaction platform, and a bidding platform for used automobiles. It also collects commissions for facilitating auto-financing and insurance product transactions on its platform.

ChipMOS Technologies

tech stocks
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ChipMOS Technologies engages in the research, development, manufacture, and sale of high-integration and high-precision integrated circuits.

Trading at just over 15 times estimated earnings and offering a solid 4.64% dividend, this could be a total return home run. ChipMOS Technologies Inc. (NASDAQ: IMOS) engages in the research, development, manufacture, and sale of high-integration and high-precision integrated circuits and related assembly and testing services in:

  • The People’s Republic of China
  • Taiwan
  • Japan
  • Singapore
  • Elsewhere

It operates through the Testing, Assembly, Testing, and Assembly for LCD, OLED, and Other Display Panel Driver Semiconductors, Bumping, and Other segments.

The company provides a range of back-end assembly and testing services, including:

  • Engineering tests
  • Wafer probing
  • Final test of memory and logic/mixed-signal semiconductors
  • Leadframe-based and organic substrate-based package assembly services for memory and logic/mixed-signal semiconductors
  • Gold bumping
  • Testing and assembly services for LCD, OLED, and other panel display driver semiconductors

Its semiconductors are used in personal computers, office automation consumer electronics, and communications equipment applications.

Himax Technologies

tech stocks
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Himax Technologies is a fabless semiconductor manufacturer headquartered in Tainan City, Taiwan.

After trading sideways for two years, the shares look ready to explode higher and pay shareholders a dependable 4.91% dividend. Himax Technologies Inc. (NASDAQ: HIMX) is a fabless semiconductor company that provides display imaging processing technologies in China, Taiwan, the Philippines, Korea, Japan, Europe, and the United States.

The company operates in two segments:

  • Driver Integrated Circuits
  • Non-Driver Products

It offers display driver integrated circuits (ICs) and timing controllers that are used in:

  • Televisions
  • PC monitors
  • Laptops
  • Mobile phones
  • Tablets
  • Automotive
  • ePaper devices

The company also provides:

  • Automotive IC solutions, including traditional driver ICs
  • Advanced in-cell touch and display driver integration
  • Large touch and display driver integration
  • Local dimming timing controllers
  • Active matrix organic light-emitting diode (AMOLED) solutions, including AMOLED drivers, timing controllers, and touch controller ICs.

In addition, it provides:

  • Application-specific IC services
  • Liquid crystal on silicon and micro-electro-mechanical system products
  • Power ICs
  • Complementary metal oxide semiconductor image sensor products
  • Wafer-level optics products
  • 3D sensing products
  • Ultralow power WiseEye smart image sensing products

The company markets its display drivers to panels, mobile device modules, and end-use product manufacturers.

Qifu Technology

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Qifu Technology, formerly 360 DigiTech, is a China-based company mainly engaged in credit technology services.

Sporting a solid 4.45% dividend and trading at a cheap 6.3 times estimated 2024 earnings, this company looks ready to break out to new 52-week highs. Qifu Technology Inc. (NASDAQ: QIFU) and its subsidiaries operate a credit-tech platform under the 360 Jietiao brand in the People’s Republic of China.

The company provides credit-driven services that:

  • Match borrowers with financial institutions to conduct customer acquisition
  • Initial and credit screening
  • Advanced risk assessment
  • Credit assessment
  • Fund matching
  • Other post-facilitation and platform services, including loan facilitation and post-facilitation services to financial institution partners under intelligence credit engine, referral services, and risk management software-as-a-service.

It offers SME owners e-commerce, enterprise, and invoice loans. It serves financial institutions, consumers, and small- and micro-enterprises.

Xerox

tech stocks
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Xerox sells print and digital document products and services in more than 160 countries.

This company is not just making copies, and to many, it is really just a verb, but it still delivers a sweet 8.83% dividend. Xerox Holdings Corp. (NASDAQ: XRX) operates as a workplace technology company that integrates hardware, services, and software for enterprises in the Americas, Europe, the Middle East, Africa, India, and elsewhere.

The company operates through two segments:

  • Print and Other
  • FITTLE

The Print and Other segment designs, develops and sells document systems, solutions, services, and IT and software products and services.

The FITTLE segment offers financing solutions for direct channel customer purchases and lease financing to end-users.

It also offers workplace solutions comprising:

  • Desktop monochrome, color, and multifunction printers and ConnectKey software
  • Digital printing presses and light production devices
  • Digital services that support workflow automation, personalization and communication software, content management solutions, and digitization services

In addition, Xerox provides:

  • Graphic communications
  • In-plant and production solutions
  • FreeFlow, a software solution for the automation and integration of processing of print jobs comprising file preparation
    Final production and electronic publishing
  • IT services
  • End-user computing devices, network infrastructure, and communications technology
  • Technology product support, professional engineering, and commercial robotic process automation

Further, it sells paper products and standalone software, such as CareAR, DocuShare, and XMPie, and invests in startups.

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