In This Article:
Japan's stock markets have recently experienced sharp losses, with the Nikkei 225 Index falling 6.0% and the broader TOPIX Index down 5.6%. Despite these challenges, dividend stocks in Japan remain a compelling option for investors seeking stable income and potential long-term growth. In this article, we will explore three top Japanese dividend stocks that can enhance your portfolio by providing consistent returns even amid market volatility.
Top 10 Dividend Stocks In Japan
| Name | Dividend Yield | Dividend Rating |
| Tsubakimoto Chain (TSE:6371) | 3.81% | ★★★★★★ |
| Yamato Kogyo (TSE:5444) | 3.76% | ★★★★★★ |
| Business Brain Showa-Ota (TSE:9658) | 3.68% | ★★★★★★ |
| Mitsubishi Research Institute (TSE:3636) | 3.51% | ★★★★★★ |
| FALCO HOLDINGS (TSE:4671) | 6.44% | ★★★★★★ |
| KurimotoLtd (TSE:5602) | 4.39% | ★★★★★★ |
| GakkyushaLtd (TSE:9769) | 4.10% | ★★★★★★ |
| E J Holdings (TSE:2153) | 3.70% | ★★★★★★ |
| DoshishaLtd (TSE:7483) | 3.82% | ★★★★★★ |
| Innotech (TSE:9880) | 4.21% | ★★★★★★ |
Click here to see the full list of 415 stocks from our Top Japanese Dividend Stocks screener.
We're going to check out a few of the best picks from our screener tool.
Dai-Dan
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Dai-Dan Co., Ltd. specializes in the design, supervision, and construction of electrical, air conditioning, plumbing and sanitary, and firefighting facilities in Japan with a market cap of ¥133.06 billion.
Operations: Dai-Dan Co., Ltd.'s revenue segments include electrical, air conditioning, plumbing and sanitary, and firefighting facilities works.
Dividend Yield: 3.3%
Dai-Dan's dividend payments have been reliable and stable over the past decade, with a reasonably low payout ratio of 35.6%, indicating good coverage by earnings. However, recent news reveals a decrease in dividends to ¥48 per share for the fiscal year ended March 2024 from ¥55 previously, though an increase to ¥55 is expected for the next fiscal year. Despite no free cash flows covering dividends and high share price volatility, earnings grew significantly by 37.1% last year.
Systena
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Systena Corporation operates in Japan, offering solution and framework design, IT services, business solutions, and cloud services with a market cap of ¥139.22 billion.
Operations: Systena Corporation generates revenue through solution and framework design, IT services, business solutions, and cloud businesses within Japan.
Dividend Yield: 3.2%