As global markets navigate a period of economic uncertainty, with rate cuts from the ECB and SNB and expectations of a similar move by the Fed, investors are keeping a close eye on dividend stocks as potential stabilizers in their portfolios. In such an environment, stocks that offer consistent dividend payouts can provide a reliable income stream and may serve as a buffer against market volatility.
Top 10 Dividend Stocks
Name
Dividend Yield
Dividend Rating
Guaranty Trust Holding (NGSE:GTCO)
7.05%
★★★★★★
Peoples Bancorp (NasdaqGS:PEBO)
4.58%
★★★★★★
Tsubakimoto Chain (TSE:6371)
4.27%
★★★★★★
Wuliangye YibinLtd (SZSE:000858)
3.22%
★★★★★★
Yamato Kogyo (TSE:5444)
4.05%
★★★★★★
China South Publishing & Media Group (SHSE:601098)
Overview: Société BIC SA is a global manufacturer and seller of stationery, lighters, shavers, and other products with a market capitalization of €2.55 billion.
Operations: Société BIC's revenue segments include €823.20 million from Stationery- Human Expression, €811.20 million from Lighters- Flame for Life, and €542.60 million from Shavers- Blade Excellence.
Dividend Yield: 4.5%
Société BIC's dividend payments are well-supported by cash flows, with a cash payout ratio of 41.5% and earnings coverage at 51.7%. Despite recent volatility in dividend history, the company has shown earnings growth of 12.8% over the past year and anticipates improved profitability in 2024 with an adjusted EBIT margin nearing 15.5%. However, its dividend yield is lower than the top quartile of French market payers, suggesting room for improvement in attractiveness to income-focused investors.
Overview: Swiss Re AG, with a market cap of CHF38.58 billion, operates globally by offering wholesale reinsurance, insurance, and other risk transfer services through its subsidiaries.
Operations: Swiss Re AG's revenue is primarily derived from three segments: Property & Casualty Reinsurance ($20.99 billion), Life & Health Reinsurance ($17.47 billion), and Corporate Solutions ($6.38 billion).
Dividend Yield: 4.6%
Swiss Re's dividend yield is among the top 25% in the Swiss market, supported by a payout ratio of 67.4% and a cash payout ratio of 50%, indicating sustainability from earnings and cash flows. However, its dividend history has been volatile with declines over the past decade. Recent earnings reports show net income of US$102 million for Q3 2024, contributing to US$2.19 billion for nine months, with expectations to exceed US$3 billion by year-end.
Overview: MLP SE, with a market cap of €640.48 million, offers financial services to private, corporate, and institutional clients in Germany through its subsidiaries.
Operations: MLP SE's revenue is derived from several segments: Financial Consulting (€436.56 million), FERI (€253.38 million), Banking (€216.22 million), DOMCURA (€128.50 million), Deutschland.Immobilien (€57.54 million), and Industrial Broker (€37.20 million).
Dividend Yield: 5.1%
MLP SE's dividend yield is in the top 25% of the German market, supported by a moderate payout ratio of 51.1% and a low cash payout ratio of 15.6%, suggesting sustainability from earnings and cash flows. Despite this, its dividend history has been volatile over the past decade. Recent Q3 results show increased net income to EUR 10.29 million, with raised EBIT guidance for 2024 between EUR 85 million and EUR 95 million reflecting strong performance expectations.
This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ENXTPA:BB SWX:SREN and XTRA:MLP.
