Top 3 Dividend Stocks On The German Exchange
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As the European economy experiences a boost from the Paris Olympics and hopes rise for potential interest rate cuts by the ECB, Germany's DAX has seen a notable increase of 1.70%. Amid this optimistic backdrop, dividend stocks on the German exchange present an attractive opportunity for investors seeking steady income. In such a market environment, good dividend stocks are typically characterized by strong financial health, consistent earnings growth, and reliable payout histories.
Top 10 Dividend Stocks In Germany
| Name | Dividend Yield | Dividend Rating |
| Allianz (XTRA:ALV) | 4.91% | ★★★★★★ |
| All for One Group (XTRA:A1OS) | 3.09% | ★★★★★☆ |
| MLP (XTRA:MLP) | 5.17% | ★★★★★☆ |
| OVB Holding (XTRA:O4B) | 4.71% | ★★★★★☆ |
| SAF-Holland (XTRA:SFQ) | 4.86% | ★★★★★☆ |
| INDUS Holding (XTRA:INH) | 5.37% | ★★★★★☆ |
| Mercedes-Benz Group (XTRA:MBG) | 8.50% | ★★★★★☆ |
| Uzin Utz (XTRA:UZU) | 3.33% | ★★★★★☆ |
| MVV Energie (XTRA:MVV1) | 3.78% | ★★★★★☆ |
| FRoSTA (DB:NLM) | 3.42% | ★★★★★☆ |
Click here to see the full list of 32 stocks from our Top German Dividend Stocks screener.
Below we spotlight a couple of our favorites from our exclusive screener.
PWO
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: PWO AG manufactures and sells lightweight aluminum sheet components made of steel for the mobility industry across Germany, Czechia, Canada, Mexico, Serbia, and China with a market cap of €94.38 million.
Operations: PWO AG generates its revenue primarily from the Auto Parts & Accessories segment, which accounted for €564.29 million.
Dividend Yield: 5.8%
PWO's dividend yield of 5.79% places it in the top 25% of German dividend payers, but its track record is unstable with volatile payments over the past decade. While dividends are well covered by earnings (38%) and cash flows (19.5%), interest payments are not adequately covered by earnings. Recent earnings reports show a decline in net income despite slight revenue growth, which may impact future dividend stability and growth prospects.
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Take a closer look at PWO's potential here in our dividend report.
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The valuation report we've compiled suggests that PWO's current price could be quite moderate.
Sixt
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Sixt SE, with a market cap of €2.82 billion, offers mobility services globally through a network of corporate and franchise stations catering to both private and business customers.
Operations: Sixt SE generates revenue primarily from Europe (€1.49 billion), Germany (€1.22 billion), and North America (€1.21 billion).
Dividend Yield: 6.1%
Sixt's dividend yield of 6.11% is among the top 25% in Germany, but its payments have been volatile and not consistently covered by free cash flows or earnings. Recent expansions in the U.S. market and partnerships like Blacklane may bolster future revenue, yet net income has significantly dropped year-over-year, impacting dividend sustainability. Sixt's P/E ratio of 12.4x suggests it is trading at good value compared to the broader German market (16.8x).