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Japan's stock markets have recently experienced significant gains, with the Nikkei 225 Index rising 5.6% and the broader TOPIX Index up 3.7%, driven by optimism surrounding China's stimulus measures and dovish commentary from the Bank of Japan. This favorable backdrop highlights the importance of dividend stocks, which can provide a reliable income stream in times of market volatility and economic uncertainty. A good dividend stock typically offers consistent payouts, strong financial health, and a sustainable business model—traits that are especially valuable in today's dynamic market environment.
Top 10 Dividend Stocks In Japan
Name | Dividend Yield | Dividend Rating |
Yamato Kogyo (TSE:5444) | 4.17% | ★★★★★★ |
Globeride (TSE:7990) | 4.33% | ★★★★★★ |
Intelligent Wave (TSE:4847) | 3.88% | ★★★★★★ |
KurimotoLtd (TSE:5602) | 5.10% | ★★★★★★ |
Mitsubishi Research Institute (TSE:3636) | 3.85% | ★★★★★★ |
Innotech (TSE:9880) | 4.99% | ★★★★★★ |
Business Brain Showa-Ota (TSE:9658) | 4.34% | ★★★★★★ |
FALCO HOLDINGS (TSE:4671) | 6.60% | ★★★★★★ |
CAC Holdings (TSE:4725) | 4.46% | ★★★★★★ |
GakkyushaLtd (TSE:9769) | 4.55% | ★★★★★★ |
Click here to see the full list of 457 stocks from our Top Japanese Dividend Stocks screener.
Here's a peek at a few of the choices from the screener.
Sakai Heavy Industries
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Sakai Heavy Industries, Ltd. manufactures and sells construction equipment and industrial machinery both in Japan and internationally, with a market cap of ¥21.90 billion.
Operations: Sakai Heavy Industries, Ltd. generates revenue from several key regions, including ¥1.96 billion from China, ¥23.01 billion from Japan, ¥6.33 billion from Indonesia, and ¥9.62 billion from the United States.
Dividend Yield: 4.2%
Sakai Heavy Industries offers a dividend yield of 4.19%, placing it in the top 25% of Japanese dividend payers. Despite its attractive yield, the company's dividends have been volatile over the past decade, showing instability and unreliability. However, with a payout ratio of 45.6% and a cash payout ratio of 43.1%, dividends are well-covered by earnings and cash flows. Recent ex-dividend was ¥85 on July 9, indicating continued shareholder returns despite past volatility.
Ferrotec Holdings
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Ferrotec Holdings Corporation operates in semiconductor equipment-related and electronic device businesses both in Japan and internationally, with a market cap of ¥116.09 billion.