Asian Dividend Stocks: 3 Top Picks

As global markets navigate through a landscape marked by mixed economic signals and trade negotiations, Asian stock markets have shown resilience, with China's indices experiencing gains despite ongoing challenges. In this environment, dividend stocks in Asia present an attractive option for investors seeking steady income streams, as they often offer stability and potential growth even amid fluctuating market conditions.

Top 10 Dividend Stocks In Asia

Click here to see the full list of 1218 stocks from our Top Asian Dividend Stocks screener.

Let's explore several standout options from the results in the screener.

Great Wall Motor (SEHK:2333)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Great Wall Motor Company Limited manufactures and sells automobiles, along with automotive parts and components, across various international markets including China, Europe, ASEAN countries, Latin America, the Middle East, Australia, and South Africa; it has a market cap of approximately HK$180.71 billion.

Operations: Great Wall Motor Company Limited generates CN¥199.36 billion in revenue from its operations in manufacturing and selling automobiles, as well as automotive parts and components, across multiple international markets.

Dividend Yield: 3.8%

Great Wall Motor recently announced a final cash dividend of RMB 0.45 per share, reflecting its capacity to cover dividends with earnings and cash flows, given its low payout ratios. However, the company's removal from the Shanghai Stock Exchange 180 Value Index raises concerns about valuation stability. While sales and production figures show growth, recent earnings have declined significantly compared to last year, highlighting potential volatility in dividend reliability despite a history of increases over ten years.

• Take a closer look at Great Wall Motor's potential here in our dividend report.
• Insights from our recent valuation report point to the potential undervaluation of Great Wall Motor shares in the market.

Sheng Siong Group (SGX:OV8)

Simply Wall St Dividend Rating: ★★★★☆☆

Overview: Sheng Siong Group Ltd is an investment holding company that operates a chain of supermarket retail stores in Singapore, with a market cap of SGD3.04 billion.

Operations: Sheng Siong Group Ltd generates revenue primarily through its supermarket operations selling consumer goods, amounting to SGD1.46 billion.

Dividend Yield: 3.2%

Sheng Siong Group's dividend payments have been volatile over the past decade, though they remain covered by earnings and cash flows with payout ratios of 70% and 50.8%, respectively. The recent approval of a final dividend of S$0.032 per share underscores its commitment to shareholders, despite a relatively low yield compared to top-tier payers in Singapore. Earnings growth and expansion into six new retail locations may bolster future stability, although historical volatility remains a concern.

• Get an in-depth perspective on Sheng Siong Group's performance by reading our dividend report here.
• The valuation report we've compiled suggests that Sheng Siong Group's current price could be quite moderate.

Hua Xia Bank (SHSE:600015)

Simply Wall St Dividend Rating: ★★★★★☆

Overview: Hua Xia Bank Co., Limited offers commercial banking services in China and Hong Kong, with a market cap of CN¥134.80 billion.

Operations: Hua Xia Bank Co., Limited generates revenue primarily through its commercial banking services in China and Hong Kong.

Dividend Yield: 4.8%

Hua Xia Bank's dividend yield is among the top 25% in China, supported by a low payout ratio of 25.8%, indicating sustainability. However, its dividend history has been volatile over the past decade. Recent earnings showed a decline with net income at ¥5.06 billion compared to ¥5.89 billion last year, potentially affecting future payouts despite forecasted earnings growth of 6.25% annually and trading below estimated fair value by 16.5%.

• Click to explore a detailed breakdown of our findings in Hua Xia Bank's dividend report.
• Our comprehensive valuation report raises the possibility that Hua Xia Bank is priced lower than what may be justified by its financials.

Turning Ideas Into Actions

• Unlock our comprehensive list of 1218 Top Asian Dividend Stocks by clicking here.
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Ready For A Different Approach?

• Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

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.

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