3 Chinese Dividend Stocks Yielding Up To 6.8

China's recent announcement of robust stimulus measures has sparked optimism across global markets, leading to significant gains in Chinese indices. The Shanghai Composite Index and the blue-chip CSI 300 have seen notable increases, reflecting investor confidence in the country's economic recovery efforts. In this context, dividend stocks can offer a stable income stream and potential for capital appreciation. Here are three Chinese dividend stocks yielding up to 6.8% that could benefit from the current economic environment.

Top 10 Dividend Stocks In China

Name	Dividend Yield	Dividend Rating
Midea Group (SZSE:000333)	3.94%	★★★★★★
Lao Feng Xiang (SHSE:600612)	3.10%	★★★★★★
China South Publishing & Media Group (SHSE:601098)	3.95%	★★★★★★
Bank of Beijing (SHSE:601169)	5.48%	★★★★★★
Inner Mongolia Yili Industrial Group (SHSE:600887)	4.13%	★★★★★★
HUAYU Automotive Systems (SHSE:600741)	4.18%	★★★★★★
Changchun High-Tech Industry (Group) (SZSE:000661)	4.09%	★★★★★★
Zhejiang HangminLtd (SHSE:600987)	3.80%	★★★★★★
Huangshan NovelLtd (SZSE:002014)	5.49%	★★★★★★
Zhejiang Jiaxin SilkLtd (SZSE:002404)	4.91%	★★★★★★

Click here to see the full list of 177 stocks from our Top Chinese Dividend Stocks screener.

Here's a peek at a few of the choices from the screener.

Xiamen C&D (SHSE:600153)

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

Overview: Xiamen C&D Inc. operates in supply chain and real estate development sectors both in China and internationally, with a market cap of CN¥30.09 billion.

Operations: Xiamen C&D Inc. generates revenue primarily from its Supply Chain Operations Division (CN¥506.42 billion) and Real Estate Business Segment (CN¥184.76 billion).

Dividend Yield: 6.9%

Xiamen C&D's dividend yield of 6.86% ranks in the top 25% of Chinese dividend payers, but its sustainability is questionable as it isn't covered by free cash flows and has been volatile over the past decade. Despite a low payout ratio (17.8%), earnings are forecasted to decline by an average of 24.8% per year for the next three years, which could impact future dividends. Recent H1 2024 results show a significant drop in revenue and net income compared to last year.

• Delve into the full analysis dividend report here for a deeper understanding of Xiamen C&D.
• Our valuation report unveils the possibility Xiamen C&D's shares may be trading at a discount.

Sanquan Food (SZSE:002216)

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

Overview: Sanquan Food Co., Ltd. is a Chinese company that produces and sells frozen food products, with a market cap of CN¥10.77 billion.

Operations: Sanquan Food Co., Ltd. generates revenue primarily from the sale of quick-frozen food and room temperature food, amounting to CN¥6.87 billion.

Dividend Yield: 4.1%

Sanquan Food offers a dividend yield of 4.08%, placing it in the top 25% of Chinese dividend payers, with dividends covered by both earnings and cash flows (payout ratio: 68.4%, cash payout ratio: 66.4%). However, its dividend history has been volatile over the past decade despite overall growth. Recent H1 2024 results show a decline in revenue and net income compared to last year, which could affect future payouts. The stock trades at a favorable P/E ratio of 16.7x against the CN market average of 33.5x.

• Get an in-depth perspective on Sanquan Food's performance by reading our dividend report here.
• Our expertly prepared valuation report Sanquan Food implies its share price may be lower than expected.

Beijing Sanlian Hope Shin-Gosen Technical Service (SZSE:300384)

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

Overview: Beijing Sanlian Hope Shin-Gosen Technical Service Co., Ltd. operates in the technical services sector and has a market cap of CN¥5.38 billion.

Operations: Beijing Sanlian Hope Shin-Gosen Technical Service Co., Ltd. generates its revenue through various segments within the technical services sector.

Dividend Yield: 3.4%

Beijing Sanlian Hope Shin-Gosen Technical Service's dividend yield of 3.37% is among the top 25% in China, with dividends well-covered by earnings and cash flows (payout ratio: 76%, cash payout ratio: 49.2%). Despite recent earnings growth, its dividend history has been unstable over nine years. The company recently affirmed a CNY 2.84 per 10 shares interim dividend for H1 2024, supported by increased revenue and net income compared to last year.

• Navigate through the intricacies of Beijing Sanlian Hope Shin-Gosen Technical Service with our comprehensive dividend report here.
• Our valuation report here indicates Beijing Sanlian Hope Shin-Gosen Technical Service may be undervalued.

Key Takeaways

• Click here to access our complete index of 177 Top Chinese Dividend Stocks.
• Are these companies part of your investment strategy? Use Simply Wall St to consolidate your holdings into a portfolio and gain insights with our comprehensive analysis tools.
• Take control of your financial future using Simply Wall St, offering free, in-depth knowledge of international markets to every investor.

Curious About Other Options?

• 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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