SAF-Holland And Two More Leading Dividend Stocks

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Amid a backdrop of economic uncertainties and fluctuating markets, Germany's DAX index showed resilience with a modest rise of 0.40% this week. As investors navigate through these turbulent times, dividend stocks like SAF-Holland emerge as potential beacons of stability due to their ability to provide regular income streams.

Top 10 Dividend Stocks In Germany

Name

Dividend Yield

Dividend Rating

Allianz (XTRA:ALV)

5.28%

★★★★★★

Deutsche Post (XTRA:DHL)

4.64%

★★★★★★

INDUS Holding (XTRA:INH)

4.96%

★★★★★☆

OVB Holding (XTRA:O4B)

4.76%

★★★★★☆

DATA MODUL Produktion und Vertrieb von elektronischen Systemen (XTRA:DAM)

6.71%

★★★★★☆

Südzucker (XTRA:SZU)

6.39%

★★★★★☆

MLP (XTRA:MLP)

5.11%

★★★★★☆

Deutsche Telekom (XTRA:DTE)

3.24%

★★★★★☆

Mercedes-Benz Group (XTRA:MBG)

8.04%

★★★★★☆

Uzin Utz (XTRA:UZU)

3.17%

★★★★★☆

Click here to see the full list of 29 stocks from our Top Dividend Stocks screener.

Let's explore several standout options from the results in the screener.

SAF-Holland

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: SAF-Holland SE is a company that manufactures and supplies chassis-related assemblies and components for trailers, trucks, semi-trailers, and buses, with a market capitalization of approximately €839.79 million.

Operations: SAF-Holland SE generates its revenue primarily from three geographical segments: €951.75 million from Europe, the Middle East, and Africa (EMEA), €898.79 million from the Americas, and €280.64 million from Asia/Pacific including China and India.

Dividend Yield: 4.6%

SAF-Holland SE, despite a volatile dividend history over the past decade, has shown recent improvements in financial performance with a 28% earnings growth last year and projections of 9.18% annual earnings growth. The company's dividends are well-covered by both earnings and cash flows, with payout ratios at 44.6% and cash payout ratios at 31.6%, respectively. However, its current dividend yield of 4.59% is slightly below the top quartile in the German market at 4.63%. Additionally, SAF-Holland trades at a significant discount to estimated fair value by 43.6%. High debt levels remain a concern for long-term sustainability.

XTRA:SFQ Dividend History as at Jul 2024
XTRA:SFQ Dividend History as at Jul 2024

technotrans

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Technotrans SE is a global technology and services company with a market capitalization of approximately €127.45 million.

Operations: Technotrans SE generates revenue primarily through two segments: Technology, which brought in €188.31 million, and Services, contributing €63.04 million.