ASX dividend stocks are a great way for savvy Australian investors to earn a regular passive income.
And thanks to sharemarket volatility so far in 2026, several good-quality dividend stocks are now offering shareholders a very attractive dividend yield.
While chasing the highest yield ASX stock isn't always the best strategy, there are some reliable earners out there.
The goal should be to find a financially sound dividend-paying business that pays a reliable dividend at a good rate.
Here's one that has caught my attention recently.
My high-yield ASX dividend stock of choice
IPH Ltd (ASX: IPH) is an international intellectual property (IP) services group. Essentially, the business acts as a holding company for a network of IP firms. Its major subsidiaries include global IP brands AJ Park, Griffith Hack, Pizzeys, Smart & Biggar, and Spruson & Ferguson, as well as IP business Applied Marks.
These subsidiaries protect, commercialise, enforce, and manage clients' IP rights worldwide. IPH services cover everything from patent filing and trademarks to prosecution, portfolio management, and enforcement.
The group covers 10 jurisdictions across 25 countries, including Australia, New Zealand, Southeast Asia, and the US, making it the largest IP services provider in the Asia-Pacific region. This means that a significant share of its revenue comes from the Asia-Pacific market.
Not only is the company huge and sprawling, but it also has a long history of generating consistently strong cash flow from its operations.
IPH posted its first-half FY26 results in mid-February, revealing a 6.5% increase in revenue compared with the prior corresponding period.
Its underlying EBITDA rose 6.6%, and its statutory NPAT climbed 10.5%. IPH also announced a 101% cash conversion.
The company's strong financials and robust cash flow mean it is able to position itself as a reliable dividend payer. And one that can gradually increase its dividend payment over time, too.
What dividend yield does it pay its shareholders?
IPH has historically paid two partially or fully franked dividends each year, in March and September.
Its latest payment, in March this year, was an interim dividend of 19 cents per share, up 11.8% on the prior period. The dividend was 20% franked and represented an 81% payout of cash-adjusted NPAT.
The consensus estimate is that IPH will pay a fully-franked 37.6 cents per share dividend for FY26. Based on the share price of $3.86 at the time of writing, this equates to a dividend yield just under 10%, excluding franking credits.
It also means that $1,000 invested in IPH shares will buy you 259 shares in the high-yield ASX dividend stock, at the time of writing.
What's next for the IPH share price?
Analysts are mostly bullish about the outlook for the ASX dividend stock over the next 12 months.
According to TradingView data, the majority (5 out of 7) have a buy or strong buy rating on the stock.
The average $4.79 target price implies a 24% upside at the time of writing. Meanwhile, the $6 maximum target price implies a potential 55% price surge for the shares over the next 12 months.
The post $1,000 buys 259 shares in this high-yield ASX dividend stock appeared first on The Motley Fool Australia.
Motley Fool contributor Samantha Menzies has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended IPH Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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