Three Top German Dividend Stocks To Consider
In This Article:
As the European Central Bank's recent rate cuts have buoyed major stock indexes, including Germany’s DAX, investors are increasingly looking at dividend stocks as a way to navigate the current economic landscape. In this environment, a good dividend stock is characterized by its ability to provide consistent payouts and potential for growth, making it an attractive option for those seeking stability and income in their portfolios.
Top 10 Dividend Stocks In Germany
| Name | Dividend Yield | Dividend Rating |
| Edel SE KGaA (XTRA:EDL) | 6.52% | ★★★★★★ |
| Deutsche Post (XTRA:DHL) | 4.87% | ★★★★★★ |
| MLP (XTRA:MLP) | 4.87% | ★★★★★☆ |
| SAF-Holland (XTRA:SFQ) | 5.90% | ★★★★★☆ |
| OVB Holding (XTRA:O4B) | 4.64% | ★★★★★☆ |
| Uzin Utz (XTRA:UZU) | 3.32% | ★★★★★☆ |
| Mercedes-Benz Group (XTRA:MBG) | 9.25% | ★★★★★☆ |
| Allianz (XTRA:ALV) | 4.53% | ★★★★★☆ |
| FRoSTA (DB:NLM) | 3.28% | ★★★★★☆ |
| MVV Energie (XTRA:MVV1) | 3.71% | ★★★★★☆ |
Click here to see the full list of 31 stocks from our Top German Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
DATAGROUP
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: DATAGROUP SE provides IT solutions in Germany and internationally, with a market cap of €353.67 million.
Operations: DATAGROUP SE generates revenue primarily from its Services segment, which accounts for €456.25 million, and its Solutions & Consulting segment, contributing €77.59 million.
Dividend Yield: 3.5%
DATAGROUP's dividend yield of 3.53% is below the top quartile in Germany, and its dividend history has been volatile over the past decade. However, dividends are well-covered by earnings and cash flows, with payout ratios of 48.1% and 28.2%, respectively. Despite a high debt level, DATAGROUP is trading at a significant discount to its estimated fair value and was recently added to the S&P Global BMI Index, potentially increasing investor interest.
-
Delve into the full analysis dividend report here for a deeper understanding of DATAGROUP.
-
Our expertly prepared valuation report DATAGROUP implies its share price may be lower than expected.
KSB SE KGaA
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: KSB SE & Co. KGaA, along with its subsidiaries, manufactures and supplies pumps, valves, and related services globally, with a market cap of €1.12 billion.
Operations: KSB SE & Co. KGaA generates revenue through its segments: Pumps (€1.52 billion), Fittings (€370.94 million), and KSB Supremeserv (€978.20 million).
Dividend Yield: 3.9%
KSB SE & Co. KGaA's dividend yield of 3.88% is below the top 25% in Germany, with a history of volatility over the past decade. Despite this, dividends are well-covered by earnings and cash flows, with payout ratios of 29.9% and 24.2%, respectively. The company is trading at a significant discount to its estimated fair value, suggesting potential undervaluation despite recent earnings showing a slight decline in net income for the half year ended June 2024.