Yahoo Finance Three Solid German Dividend Stocks Yielding Up To 5.5%
Amid a backdrop of political uncertainty in Europe and fluctuating bond yields, Germany's DAX index has shown resilience with a modest rise. In this environment, selecting dividend stocks that offer stability and attractive yields can provide investors with both income and potential growth opportunities.
Top 10 Dividend Stocks In Germany
Name | Dividend Yield | Dividend Rating |
Allianz (XTRA:ALV) | 5.32% | ★★★★★★ |
Deutsche Post (XTRA:DHL) | 4.90% | ★★★★★★ |
Brenntag (XTRA:BNR) | 3.34% | ★★★★★☆ |
Südzucker (XTRA:SZU) | 6.62% | ★★★★★☆ |
DATA MODUL Produktion und Vertrieb von elektronischen Systemen (XTRA:DAM) | 6.62% | ★★★★★☆ |
MLP (XTRA:MLP) | 5.24% | ★★★★★☆ |
INDUS Holding (XTRA:INH) | 4.99% | ★★★★★☆ |
Deutsche Telekom (XTRA:DTE) | 3.28% | ★★★★★☆ |
Mercedes-Benz Group (XTRA:MBG) | 8.21% | ★★★★★☆ |
Uzin Utz (XTRA:UZU) | 3.14% | ★★★★★☆ |
Click here to see the full list of 30 stocks from our Top Dividend Stocks screener.
Let's take a closer look at a couple of our picks from the screened companies.
MLP
Simply Wall St Dividend Rating: ★★★★★☆
Overview: MLP SE operates in Germany, offering financial services to private, corporate, and institutional clients with a market capitalization of approximately €0.62 billion.
Operations: MLP SE generates revenue through various segments, primarily including Financial Consulting (€426.19 million), FERI (€221.45 million), Banking (€195.50 million), DOMCURA (€131.71 million), Germany Real Estate (€51.96 million), and Industrial Broker (€35.97 million).
Dividend Yield: 5.2%
MLP SE's recent financial performance shows a positive trend with Q1 2024 sales and net income rising to €284.11 million and €27.76 million, respectively. Despite a historically unstable dividend track record, current dividends are well-covered by earnings with a payout ratio of 62.3% and by cash flows at 10.9%. However, the company's dividend history has been volatile over the past decade, which might concern long-term stability-focused investors. Trading at 41.8% below estimated fair value suggests potential undervaluation.
Click here to discover the nuances of MLP with our detailed analytical dividend report.
Our expertly prepared valuation report MLP implies its share price may be lower than expected.
K+S
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: K+S Aktiengesellschaft is a global supplier of mineral products for the agricultural, industrial, consumer, and communities sectors, with a market capitalization of approximately €2.25 billion.
Operations: K+S Aktiengesellschaft generates €3.67 billion in revenue from its Europe+ operating unit.
Dividend Yield: 5.6%
K+S Aktiengesellschaft's recent financial downturn, with Q1 2024 sales dropping to €988 million from €1.19 billion and net income plummeting to €18.6 million from €263.4 million year-over-year, raises concerns about its dividend sustainability despite a current yield of 5.57%. The company's dividends have shown volatility over the past decade and are not well covered by earnings, indicating potential risk for dividend-focused investors. However, the recent issuance of a €495.74 million fixed-income offering suggests efforts towards financial stabilization.
Dive into the specifics of K+S here with our thorough dividend report.
Upon reviewing our latest valuation report, K+S' share price might be too optimistic.
WashTec
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: WashTec AG specializes in car wash solutions across Germany, Europe, North America, and the Asia Pacific with a market capitalization of approximately €525.93 million.
Operations: WashTec AG generates €98.39 million in revenue from North America and an adjusted segment revenue of €393.63 million.
Dividend Yield: 5.6%
WashTec AG, despite its attractive 5.6% dividend yield, faces challenges with sustainability as the payout ratio stands high at 106.6%, indicating dividends are not well covered by earnings. Although dividends have increased over the past decade, their reliability has been compromised by volatility. Recent financials show a dip in Q1 sales to €100.76 million from €109.17 million year-over-year and a decrease in net income to €3.12 million from €3.47 million, further questioning the stability of future payouts.
Take a closer look at WashTec's potential here in our dividend report.
Upon reviewing our latest valuation report, WashTec's share price might be too pessimistic.
Next Steps
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include XTRA:MLP XTRA:SDF and XTRA:WSU.
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