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These 3 ‘secret’ dividend shares could be top stocks to buy in May!

Forget FTSE 100 dividend shares. And look past the FTSE 250 for passive income. Here are three lesser-known dividend stocks investors should consider.

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The FTSE 100 is one of the world’s most popular places to invest for dividend shares. Even the growth-focused FTSE 250 has stacks of popular dividend-paying stocks. But there’s a problem: investors may be missing out on other excellent passive income shares by just focusing on these UK indexes.

Take the examples of James Halstead (LSE:JHD), Wynnstay Group (LSE:WYN), and YouGov (LSE:YOU). These ‘secret’ dividend heroes attract far less attention than FTSE 100 and FTSE 250 stocks. However, each offers market-bending dividend yields as well as long records of dividend growth.

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Come see why these dividend shares demand serious attention today.

Flooring it

James Halstead is one of the London stock market’s best dividend growth stocks. Cash rewards have risen every year for the last 49 years. Today, its dividend yield is an enormous 6.7% for this financial year (to June 2026). For fiscal 2027, it rises to 6.9%.

Halstead works in a highly cyclical industry, supplying flooring for commercial and residential properties. This means profits can come under pressure when economic conditions worsen. With the Iran war continuing, what can we expect?

Further share price volatility is possible, but I’m confident Halstead can keep hiking dividends. Its operations are highly cash generative, helped by the healthy margins of its specialist flooring products. It also has zero debt on the balance sheet, giving it greater financial flexibility than most other dividend-paying shares.

Another high dividend yield

Wynnstay also enjoys the benefit of net balance sheet cash. As of December, it had net cash of £25.7m. This supported another year of dividend growth, marking 2025 the 22nd straight year of increases.

What else makes Wynnstay such a reliable dividend share? One part is the defensive nature of its operations. It sells animal feed, fertiliser, and seeds, and provides agricultural services. Farming doesn’t stop when recessions hit, so revenues remain relatively stable.

One threat looking ahead is rising costs as broader inflationary pressures increase. But on balance, I think Wynnstay’s in good shape for further dividend growth. Analysts share my optimism, meaning a FTSE 100-beating dividend yield of 5.3% for this financial year (ending March 2027), rising to 5.5% next year.

What about YouGov?

YouGov’s record of consistent dividend growth goes all the way to 2013. This is thanks in part to its expanding market — more and more businesses use data to influence their decision making and marketing activities.

That’s not all. The company has low capital expenditure requirements, meaning robust cash flows. Meanwhile, its subscription-based services model generates ‘sticky’ revenues it can use to pay dividends.

The question is, can it keep growing payouts as economic pressures grow? There is clear risk, but hefty dividend coverage provides a wide margin of error. This ranges from 2.4 to 3.6 times for the next two financial years.

YouGov’s dividend yield is a Footsie-topping 3.3% for this fiscal year (to July 2026). It improves to 3.5% for next year.

Royston Wild has no position in any of the shares mentioned. The Motley Fool UK has recommended YouGov Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

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