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Amid the recent decline in the FTSE 100, largely driven by disappointing trade figures from China and ongoing economic issues, investors are turning their focus to dividend stocks as a reliable income source. In these uncertain times, choosing dividend stocks with solid fundamentals and robust business models can provide stability and regular returns, making them an appealing option for those seeking to manage current market fluctuations.
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<p class="yf-1090901"><strong>Name</strong></p>
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<p class="yf-1090901"><strong>Dividend Yield</strong></p>
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<p class="yf-1090901"><strong>Dividend Rating</strong></p>
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<p class="yf-1090901">WPP (LSE:WPP)</p>
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<p class="yf-1090901">6.66%</p>
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<p class="yf-1090901">★★★★★★</p>
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<p class="yf-1090901">Man Group (LSE:EMG)</p>
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<p class="yf-1090901">7.47%</p>
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<p class="yf-1090901">★★★★★☆</p>
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<a target="_blank" href="https://simplywall.st/discover/investing-ideas/146/dividend-powerhouses-3-yield/gb?utm_medium=finance_user&utm_campaign=conclusion-grid&utm_source=yahoo&blueprint=3841714" rel="nofollow noopener" class="link">Click here to see the full list of 59 stocks from our Top UK Dividend Stocks screener.</a>
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<p class="yf-1090901">Let’s reveal some promising picks from our specialized screener.</p>
<p class="yf-1090901"><strong>Simply Wall St Dividend Rating:</strong> ★★★★☆☆</p>
<p class="yf-1090901"><strong>Overview:</strong> Irish Continental Group plc is a maritime transport firm serving Ireland, the UK, and continental Europe, with a market cap of £709.03 million.</p>
<p class="yf-1090901"><strong>Operations:</strong> The company primarily earns revenue from its Ferries segment, generating €433.50 million, alongside its Container and Terminal operations contributing €203.50 million.</p>
<p class="yf-1090901"><strong>Dividend Yield:</strong> 3%</p>
<p class="yf-1090901">While Irish Continental Group's dividend payments have fluctuated over the past decade, they have demonstrated growth. Currently trading at 46.8% below its estimated fair value, it indicates potential undervaluation. With a payout ratio of 42.8%, dividends are adequately supported by earnings and cash flows. Although its yield is lower than top UK dividend payers, the company has proposed a final dividend of €17.2 million for 2024, reflecting its ongoing commitment to shareholder returns.</p>
<p class="yf-1090901"><strong>Simply Wall St Dividend Rating:</strong> ★★★★☆☆</p>
<p class="yf-1090901"><strong>Overview:</strong> Kainos Group plc provides digital technology services across multiple regions with a market cap of around £885.32 million.</p>
<p class="yf-1090901"><strong>Dividend Yield:</strong> 3.9%</p>
<p class="yf-1090901">Despite its volatile payout history, Kainos Group maintains a current payout ratio of 81.2% and a cash payout of 61.5%. Trading at 22.4% below its fair value indicates undervaluation. The board has proposed a final dividend of £23.6 million for 2025, ensuring returns to shareholders amidst share buyback initiatives totaling £30 million.</p>
<p class="yf-1090901"><em>This article by Simply Wall St offers general insights based on historical data and analyst forecasts. It is not considered financial advice and does not represent a recommendation to buy or sell any stock, nor does it factor in personal financial circumstances.</em></p>
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