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The London Inventory Alternate is teeming with dividend shares that pay enticing ranges of passive revenue. And although blue chips like Lloyds and Authorized & Normal typically hog the limelight, there are some cracking little revenue shares exterior the FTSE 100.
Listed here are three that Metropolis analysts count on to be buying and selling not less than 41% above their present share costs by this time subsequent yr. And whereas such forecasts and particular person dividends can’t be relied upon, these shares do supply first rate passive revenue potential.
4imprint
4imprint (LSE:FOUR) is a direct marketer of promotional merchandise, serving to companies and organisations put their emblem on objects like T-shirts, pens, mugs, and water bottles.
Whereas a distinct segment market, 4imprint is a pacesetter in North America, which helped drive robust development for years. Nonetheless, the FTSE 250 agency has just lately been hit by slowing orders resulting from macroeconomic challenges and tariff uncertainty.
Income and pre-tax revenue each fell 2% final yr, to $1.35bn and $151m respectively. And administration has warned that margins could take a slight hit in 2026, sending the inventory down almost 10% yr so far.
Nonetheless, that is nonetheless a really well-run firm, with a extremely cash-generative enterprise mannequin. It ended 2025 with money and financial institution deposits of $132.8m, whereas sustaining the dividend on the similar degree as 2024.
Presently, the inventory provides a 5.16% dividend yield and is buying and selling 41% under a median dealer worth goal of 4,930p. It’s at present out of favour resulting from macroeconomic uncertainty, nevertheless it might snap again sharply if and when situations enhance.
Keystone Regulation
Keystone Regulation (LSE:KEYS) is a tech-enabled legislation agency that makes use of a platform mannequin moderately than a conventional partnership construction. It permits legal professionals to work for themselves, and final yr added 61 new senior legal professionals, taking the group’s complete variety of price earners to 654.
In February, the £160m firm issued a buying and selling replace for the fiscal yr ending 31 January. It expects to report income of roughly £109m, up 11% yr on yr, and adjusted pre-tax income of £14.4m (up 20%).
The largest danger I see here’s a sudden downturn within the UK economic system, which stays fragile and badly uncovered to a spike in world vitality costs. This might see lawyer billings drop.
Long run although, I’m bullish on Keystone Regulation, because it operates fairly a disruptive mannequin within the authorized business and is attracting prime expertise. The inventory at present sports activities a forecast dividend yield of 4.6%, whereas buying and selling 79% under analysts’ worth goal of 906p.
Ramsdens
Lastly, Ramsdens (LSE:RFX) is a £117m excessive avenue retailer providing international forex change and pawnbroking providers. The share worth has carried out very strongly, surging 71% larger over the previous yr.
That is as a result of rocketing gold worth, which is encouraging extra folks to money of their jewelry. Elevated treasured metallic costs are anticipated to assist drive pre-tax income almost 30% larger to £21m within the yr to 30 September 2026.
In fact, it’s price mentioning that the share worth has just lately been responding to the gold worth, so a fall within the yellow metallic is a danger. Nonetheless, Ramsdens plans to open between eight and 12 new shops this yr, so it’s very a lot in development mode proper now.
The ahead yield right here is 4.4%, with a 550p share worth goal (52% larger).
