The Switzerland market shrugged off a slightly weak start and moved higher on Thursday amid continued optimism about interest rate cuts by the Swiss National Bank and the Federal Reserve in September, and on positive reaction to the latest batch of economic data from the U.S. and Europe. The benchmark SMI ended up by 69.02 points or 0.56% at 12,417.72. In this favorable market environment, dividend stocks can offer a reliable source of income for investors looking to capitalize on stable returns amidst economic optimism. Here are three dividend stocks listed on the SIX Swiss Exchange that boast yields of up to 5.6%.
Top 10 Dividend Stocks In Switzerland
| Name | Dividend Yield | Dividend Rating |
| Cembra Money Bank (SWX:CMBN) | 5.10% | ★★★★★★ |
| Vaudoise Assurances Holding (SWX:VAHN) | 4.76% | ★★★★★★ |
| St. Galler Kantonalbank (SWX:SGKN) | 4.55% | ★★★★★★ |
| EFG International (SWX:EFGN) | 4.55% | ★★★★★☆ |
| Julius Bär Gruppe (SWX:BAER) | 5.23% | ★★★★★☆ |
| TX Group (SWX:TXGN) | 4.36% | ★★★★★☆ |
| Helvetia Holding (SWX:HELN) | 4.69% | ★★★★★☆ |
| Basellandschaftliche Kantonalbank (SWX:BLKB) | 4.67% | ★★★★★☆ |
| DKSH Holding (SWX:DKSH) | 3.30% | ★★★★★☆ |
| Banque Cantonale Vaudoise (SWX:BCVN) | 4.74% | ★★★★★☆ |
Let's dive into some prime choices out of the screener.
St. Galler Kantonalbank
Simply Wall St Dividend Rating: ★★★★★★
Overview: St. Galler Kantonalbank AG, a cantonal bank, offers banking products and services to the local population and small to medium-sized enterprises in the Cantons of St. Gallen, with a market cap of CHF2.50 billion.
Operations: St. Galler Kantonalbank generates revenue through providing a range of banking products and services to residents and SMEs in the Cantons of St. Gallen.
Dividend Yield: 4.5%
St. Galler Kantonalbank offers a reliable and attractive dividend yield of 4.55%, placing it in the top 25% of Swiss dividend payers. The bank's dividends have been stable and growing over the past decade, with a current payout ratio of 57.1% and forecasted to remain sustainable at 52.1% in three years. Despite recent earnings declines, with net income dropping to CHF 100.44 million for H1 2024, dividends remain well-covered by earnings.
StarragTornos Group
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: StarragTornos Group AG, with a market cap of CHF241.36 million, develops, manufactures, and distributes precision machine tools for milling, turning, boring, grinding, and machining work pieces made of metal, composite materials, and ceramics.