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The Twelfth Magpie

With a 6.2% yield, is this one of the best FTSE 100 stocks to buy for passive income?

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With a 6.2% yield, is this one of the best FTSE 100 stocks to buy for passive income?
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⏷ This article is from 2026-08-16 • More recent news →
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Imperial Brands is highlighted as an FTSE 100 option for passive income, pointing to a 6.2% dividend yield and a long record of annual payouts, with the dividend “rebased” during the pandemic and increased every year since. The article cites Imperial Brands’ May half-year results: underlying earnings per share rose 5.3%, supported by pricing that outweighed falling cigarette volumes, and cash conversion stayed strong at 98%. Those cash flows funded a 4% dividend increase and an £809m share buyback in the same six-month period. It also mentions guidance for a step-up in adjusted operating profit growth. The risks described include ongoing long-term declines in smoking rates, a 1.5% drop in cigarette volumes in the first half of fiscal 2026 (ending September), and uncertainty around next-generation products’ profitability.

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