Yahoo Finance Three German Dividend Stocks Offering Up To 7.1% Yield
As European markets show signs of resilience, with Germany's DAX index recently marking a notable gain, investors are increasingly attentive to opportunities within the region. In this context, dividend stocks remain a compelling consideration for those looking to blend income generation with potential capital appreciation in a stabilizing economic environment.
Top 10 Dividend Stocks In Germany
Name | Dividend Yield | Dividend Rating |
Allianz (XTRA:ALV) | 5.30% | ★★★★★★ |
Deutsche Post (XTRA:DHL) | 4.86% | ★★★★★★ |
Brenntag (XTRA:BNR) | 3.24% | ★★★★★☆ |
Talanx (XTRA:TLX) | 3.17% | ★★★★★☆ |
Südzucker (XTRA:SZU) | 6.55% | ★★★★★☆ |
INDUS Holding (XTRA:INH) | 4.84% | ★★★★★☆ |
DATA MODUL Produktion und Vertrieb von elektronischen Systemen (XTRA:DAM) | 6.25% | ★★★★★☆ |
Deutsche Telekom (XTRA:DTE) | 3.30% | ★★★★★☆ |
Mercedes-Benz Group (XTRA:MBG) | 8.18% | ★★★★★☆ |
ProCredit Holding (XTRA:PCZ) | 6.88% | ★★★★☆☆ |
Click here to see the full list of 30 stocks from our Top Dividend Stocks screener.
Let's explore several standout options from the results in the screener.
Deutsche Telekom
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Deutsche Telekom AG, along with its subsidiaries, offers integrated telecommunication services and has a market capitalization of approximately €115.19 billion.
Operations: Deutsche Telekom AG generates its revenue primarily from three segments: Germany (€25.34 billion), the United States (€72.18 billion), and Europe (€11.97 billion), along with contributions from Systems Solutions (€3.94 billion) and Group Headquarters & Group Services (€2.27 billion).
Dividend Yield: 3.3%
Deutsche Telekom offers a stable dividend, with payments growing over the past decade and a current yield of 3.3%, although this is below the top quartile in Germany's market at 4.72%. Its dividends are well-supported, covered by earnings with an 87% payout ratio and by cash flows with a 19.3% cash payout ratio. Recent activities include a €700 million share buyback and multiple global conference presentations, signaling active management and international engagement despite its high debt levels.
Click here to discover the nuances of Deutsche Telekom with our detailed analytical dividend report.
Our valuation report here indicates Deutsche Telekom may be undervalued.
MPC Münchmeyer Petersen Capital
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: MPC Münchmeyer Petersen Capital AG is a publicly owned investment manager with a market capitalization of approximately €152.27 million, focusing on asset and investment management services.
Operations: MPC Münchmeyer Petersen Capital AG generates revenue primarily through Management Services (€30.83 million) and Transaction Services (€7.73 million).
Dividend Yield: 6.2%
MPC Münchmeyer Petersen Capital AG, trading at a significant discount to its estimated fair value, offers a 6.25% dividend yield, placing it in the top 25% of German dividend payers. Despite its recent initiation into dividend payments—only two years of history—the dividends are supported by both earnings and cash flows with payout ratios of 72.6% and 73.6%, respectively. Recent growth includes a notable increase in net income to €5.88 million from last year's €3.72 million for Q1, alongside leadership changes poised to take effect post-AGM on June 13, enhancing its management structure.
Novem Group
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Novem Group S.A., based in Luxembourg, specializes in developing and supplying trim elements and decorative function elements for car interiors globally, with a market capitalization of €241.83 million.
Operations: Novem Group S.A. generates €635.50 million from its Auto Parts & Accessories segment.
Dividend Yield: 7.1%
Novem Group S.A. experienced a decrease in annual sales to €635.5 million and net income to €34.8 million, reflecting a challenging fiscal year ended March 2024. Despite this, the company maintains a low payout ratio of 37.7%, ensuring dividends are well-covered by earnings and cash flows (cash payout ratio: 36.1%). However, Novem's dividend history is short and payments have been inconsistent over the past two years, indicating potential concerns about the sustainability of future dividends amidst its high debt levels.
Dive into the specifics of Novem Group here with our thorough dividend report.
Upon reviewing our latest valuation report, Novem Group's share price might be too pessimistic.
Next Steps
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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 XTRA:DTEXTRA:MPCK and XTRA:NVM
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