3 Dividend Stocks On SIX Swiss Exchange Yielding Up To 5.9%

The Swiss market recently experienced a downturn, with the SMI index closing down 0.8% as investors remained cautious and sought clearer market direction. In such fluctuating conditions, dividend stocks can provide a measure of stability and income, making them an appealing option for those looking to navigate uncertain times on the SIX Swiss Exchange.

Top 10 Dividend Stocks In Switzerland

Name	Dividend Yield	Dividend Rating
Cembra Money Bank (SWX:CMBN)	5.08%	★★★★★★
Vaudoise Assurances Holding (SWX:VAHN)	4.68%	★★★★★★
St. Galler Kantonalbank (SWX:SGKN)	4.44%	★★★★★★
Banque Cantonale Vaudoise (SWX:BCVN)	4.81%	★★★★★★
EFG International (SWX:EFGN)	4.59%	★★★★★☆
Julius Bär Gruppe (SWX:BAER)	4.74%	★★★★★☆
Luzerner Kantonalbank (SWX:LUKN)	3.81%	★★★★★☆
Holcim (SWX:HOLN)	3.36%	★★★★★☆
Basellandschaftliche Kantonalbank (SWX:BLKB)	4.72%	★★★★★☆
DKSH Holding (SWX:DKSH)	3.55%	★★★★★☆

Click here to see the full list of 26 stocks from our Top SIX Swiss Exchange Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

Bucher Industries (SWX:BUCN)

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

Overview: Bucher Industries AG manufactures and sells machinery, systems, and hydraulic components for various sectors including agriculture, food production, and public space maintenance across Asia, the Americas, Europe, and internationally with a market cap of CHF3.74 billion.

Operations: Bucher Industries AG generates revenue through its segments: Kuhn Group (CHF1.27 billion), Bucher Specials (CHF373.90 million), Bucher Municipal (CHF593.40 million), Bucher Hydraulics (CHF699.20 million), and Bucher Emhart Glass (CHF502.10 million).

Dividend Yield: 3.7%

Bucher Industries offers a mixed dividend profile. The company's dividends have been stable and growing over the past decade, with a low payout ratio of 46.4% indicating coverage by earnings. However, the high cash payout ratio of 102.5% raises concerns about sustainability from cash flows. While trading at good value compared to peers, its dividend yield of 3.69% is below top-tier Swiss market payers, and recent earnings show declines in both sales and net income for H1 2024.

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

StarragTornos Group (SWX:STGN)

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

Overview: StarragTornos Group AG is a company that develops, manufactures, and distributes precision machine tools for various machining processes involving metal, composite materials, and ceramics, with a market cap of CHF228.32 million.

Operations: The StarragTornos Group generates revenue from its precision machine tools designed for milling, turning, boring, grinding, and machining applications across metal, composite materials, and ceramics.

Dividend Yield: 6%

StarragTornos Group's dividend profile shows a high yield of 5.95%, placing it among the top Swiss payers, yet its sustainability is questionable due to insufficient free cash flows and volatile past payments. The company's payout ratio suggests dividends are covered by earnings, but recent financials reveal a decline in net income despite increased sales. Shareholder dilution over the past year adds further complexity, although the stock trades below estimated fair value. Recent leadership changes could impact future performance.

• Click here and access our complete dividend analysis report to understand the dynamics of StarragTornos Group.
• The analysis detailed in our StarragTornos Group valuation report hints at an deflated share price compared to its estimated value.

TX Group (SWX:TXGN)

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

Overview: TX Group AG operates a network of platforms offering information, orientation, entertainment, and support services in Switzerland, with a market cap of CHF1.56 billion.

Operations: TX Group AG generates revenue through its segments: Tamedia (CHF427 million), Goldbach (CHF299.10 million), 20 Minutes (CHF115.60 million), TX Markets (CHF126.40 million), and Groups & Ventures (CHF159.40 million).

Dividend Yield: 4.2%

TX Group's dividend payments are well-covered by earnings and cash flows, with a payout ratio of 59.6% and cash payout ratio of 43.4%, respectively. Despite recent profitability, its dividends have been volatile over the past decade, impacting reliability. The stock trades significantly below estimated fair value but offers a lower yield compared to top Swiss dividend payers. Recent inclusion in the S&P Global BMI Index may enhance visibility, following improved financial results for H1 2024.

• Unlock comprehensive insights into our analysis of TX Group stock in this dividend report.
• Upon reviewing our latest valuation report, TX Group's share price might be too optimistic.

Summing It All Up

• Embark on your investment journey to our 26 Top SIX Swiss Exchange Dividend Stocks selection here.
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• 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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