3 European Dividend Stocks With Up To 5.5% Yield

As European markets grapple with the impact of higher-than-expected U.S. trade tariffs, leading to significant declines in major indices like the STOXX Europe 600 and Germany's DAX, investors are increasingly seeking stability through dividend stocks. In such uncertain times, a strong dividend yield can offer a measure of resilience and income generation amidst market volatility.

Top 10 Dividend Stocks In Europe

Click here to see the full list of 247 stocks from our Top European Dividend Stocks screener.

Let's uncover some gems from our specialized screener.

HOMAG Group (DB:HG1)

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

Overview: HOMAG Group AG, with a market cap of €467.50 million, manufactures and sells machines and solutions for the woodworking and timber construction industries worldwide.

Operations: HOMAG Group AG generates revenue through its production and sale of machinery and solutions tailored for the global woodworking and timber construction sectors.

Dividend Yield: 3.4%

HOMAG Group's dividend, recently increased to €1.01 per share, remains stable and reliable over the past decade, though its yield of 3.37% is below the German market's top quartile. Despite a reasonable payout ratio of 50.5%, recent earnings have declined sharply from €34.31 million to €12.46 million, raising concerns about future sustainability amidst high share price volatility and insufficient data on cash flow coverage for dividends.

• Click here and access our complete dividend analysis report to understand the dynamics of HOMAG Group.
• Our valuation report unveils the possibility HOMAG Group's shares may be trading at a premium.

Romande Energie Holding (SWX:REHN)

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

Overview: Romande Energie Holding SA is involved in the production, distribution, and marketing of electrical and thermal energy in Switzerland with a market cap of CHF1.12 billion.

Operations: Romande Energie Holding SA generates revenue from several segments, including Grids (CHF318.28 million), Corporate (CHF59.89 million), Energy Solutions (CHF486.76 million), and Romande Energie Services (CHF157.72 million).

Dividend Yield: 3.3%

Romande Energie Holding's dividend yield of 3.29% is below the top quartile in Switzerland, yet it offers reliability with stable and growing payouts over the past decade. The dividend is well-covered by a low payout ratio of 23.5%, although there's insufficient data on cash flow coverage. Recent announcements confirmed an annual dividend of CHF 1.44 per share payable in May 2025, while leadership changes are underway with François Fellay appointed as future CEO.

• Get an in-depth perspective on Romande Energie Holding's performance by reading our dividend report here.
• In light of our recent valuation report, it seems possible that Romande Energie Holding is trading beyond its estimated value.

Zumtobel Group (WBAG:ZAG)

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

Overview: Zumtobel Group AG is a global player in the lighting industry with a market cap of €191.61 million.

Operations: Zumtobel Group AG generates its revenue from two main segments: Lighting, contributing €877.94 million, and Components, adding €303.43 million.

Dividend Yield: 5.6%

Zumtobel Group's dividend yield of 5.56% is slightly below Austria's top quartile, but it's supported by a reasonable payout ratio of 65.7% and strong cash flow coverage at 27.4%. Despite a history of volatility in dividends over the past decade, recent earnings showed challenges with a net loss in Q3 2025 and declining sales to €250.47 million from €265.54 million year-on-year, impacting profitability and future dividend stability prospects.

• Delve into the full analysis dividend report here for a deeper understanding of Zumtobel Group.
• Our expertly prepared valuation report Zumtobel Group implies its share price may be lower than expected.

Turning Ideas Into Actions

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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.

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