Top 3 Dividend Stocks On SIX Swiss Exchange In September 2024

The Swiss market has been experiencing volatility, with the benchmark SMI index closing notably lower due to concerns about global growth and disappointing jobs data. Despite this bearish sentiment, dividend stocks remain a reliable option for investors seeking steady income and long-term value. In this article, we will explore the top three dividend stocks on the SIX Swiss Exchange for September 2024.

Top 10 Dividend Stocks In Switzerland

Name	Dividend Yield	Dividend Rating
Cembra Money Bank (SWX:CMBN)	5.27%	★★★★★★
Vaudoise Assurances Holding (SWX:VAHN)	4.88%	★★★★★★
St. Galler Kantonalbank (SWX:SGKN)	4.63%	★★★★★★
Banque Cantonale Vaudoise (SWX:BCVN)	4.86%	★★★★★★
EFG International (SWX:EFGN)	4.89%	★★★★★☆
Julius Bär Gruppe (SWX:BAER)	5.61%	★★★★★☆
TX Group (SWX:TXGN)	4.55%	★★★★★☆
Luzerner Kantonalbank (SWX:LUKN)	4.00%	★★★★★☆
Basellandschaftliche Kantonalbank (SWX:BLKB)	4.71%	★★★★★☆
DKSH Holding (SWX:DKSH)	3.40%	★★★★★☆

Click here to see the full list of 24 stocks from our Top SIX Swiss Exchange Dividend Stocks screener.

Let's take a closer look at a couple of our picks from the screened companies.

Basellandschaftliche Kantonalbank (SWX:BLKB)

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

Overview: Basellandschaftliche Kantonalbank offers a range of banking products and services to private and corporate customers in Switzerland, with a market cap of CHF1.84 billion.

Operations: Basellandschaftliche Kantonalbank generates CHF466.77 million from its banking segment, catering to both private and corporate clients in Switzerland.

Dividend Yield: 4.7%

Basellandschaftliche Kantonalbank (BLKB) offers a high and reliable dividend yield of 4.71%, placing it in the top 25% of Swiss dividend payers. Over the past decade, dividends have been stable and growing, supported by a reasonable payout ratio of 56.7%. Despite trading at 36% below its estimated fair value, recent earnings growth (10.7%) and net income increase to CHF 67.06 million for H1 2024 underscore its financial robustness.

• Take a closer look at Basellandschaftliche Kantonalbank's potential here in our dividend report.
• According our valuation report, there's an indication that Basellandschaftliche Kantonalbank's share price might be on the expensive side.

Luzerner Kantonalbank (SWX:LUKN)

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

Overview: Luzerner Kantonalbank AG, with a market cap of CHF3.08 billion, offers a range of banking products and services in Switzerland.

Operations: Luzerner Kantonalbank AG generates revenue through various banking products and services within Switzerland.

Dividend Yield: 4%

Luzerner Kantonalbank offers a reliable 4% dividend yield, though slightly below the top 25% of Swiss dividend payers. Its dividends have been stable and growing over the past decade, supported by a low payout ratio of 46.5%, ensuring sustainability. Recent earnings growth (15.8%) and H1 2024 net income increase to CHF 144.73 million highlight its strong financial performance, with future dividends forecasted to remain well-covered by earnings (42% payout ratio in three years).

• Click here and access our complete dividend analysis report to understand the dynamics of Luzerner Kantonalbank.
• Upon reviewing our latest valuation report, Luzerner Kantonalbank's share price might be too pessimistic.

Phoenix Mecano (SWX:PMN)

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

Overview: Phoenix Mecano AG, with a market cap of CHF403.03 million, manufactures and sells components for industrial customers worldwide through its subsidiaries.

Operations: Phoenix Mecano AG generates revenue through three primary segments: Enclosure Systems (€218.16 million), Industrial Components (€197.28 million), and Dewertokin Technology Group (€348.00 million).

Dividend Yield: 6.7%

Phoenix Mecano reported H1 2024 earnings with sales of €382.8 million and net income of €17.2 million, both down from the previous year. The stock trades at a favorable P/E ratio (10.2x) compared to the Swiss market (21.1x). Despite a high dividend yield (6.7%), its dividends are not well covered by free cash flows and have been volatile over the past decade, although they have increased overall during this period.

• Unlock comprehensive insights into our analysis of Phoenix Mecano stock in this dividend report.
• Our valuation report here indicates Phoenix Mecano may be undervalued.

Taking Advantage

• Get an in-depth perspective on all 24 Top SIX Swiss Exchange Dividend Stocks by using our screener here.
• Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Contemplating Other Strategies?

• 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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com