European Dividend Stocks To Consider For Your Portfolio

As European markets experience a notable upswing, with the STOXX Europe 600 Index and major stock indexes such as Germany’s DAX and the UK’s FTSE 100 showing positive momentum, investors are increasingly looking towards dividend stocks as a stable income source amidst fluctuating economic conditions. In this context, selecting dividend stocks with strong fundamentals and consistent payout histories can provide a reliable stream of income while potentially benefiting from capital appreciation in an improving market environment.

Top 10 Dividend Stocks In Europe

Name	Dividend Yield	Dividend Rating
Zurich Insurance Group (SWX:ZURN)	4.36%	★★★★★★
Scandinavian Tobacco Group (CPSE:STG)	9.76%	★★★★★★
Holcim (SWX:HOLN)	4.32%	★★★★★★
HEXPOL (OM:HPOL B)	4.88%	★★★★★★
freenet (XTRA:FNTN)	6.89%	★★★★★☆
Evolution (OM:EVO)	4.70%	★★★★★★
DKSH Holding (SWX:DKSH)	4.17%	★★★★★★
Cembra Money Bank (SWX:CMBN)	4.67%	★★★★★★
CaixaBank (BME:CABK)	6.33%	★★★★★☆
Bravida Holding (OM:BRAV)	4.60%	★★★★★★

Click here to see the full list of 225 stocks from our Top European Dividend Stocks screener.

Here we highlight a subset of our preferred stocks from the screener.

BWG (OB:BWLPG)

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

Overview: BW LPG Limited is an investment holding company involved in ship owning and chartering activities globally, with a market cap of NOK20.43 billion.

Operations: BW LPG Limited generates revenue from its Shipping segment, which accounts for $953.87 million, and Product Services, contributing $2.70 billion.

Dividend Yield: 18%

BWG's dividend yield is among the top 25% in Norway, but its payments have been volatile and not well covered by free cash flows. The payout ratio is high at 88.8%, suggesting sustainability concerns. Recent earnings showed a significant decline, with net income dropping to US$34.93 million for Q2 2025 from US$76.83 million a year ago, impacting dividend reliability further as evidenced by the recent decrease to US$0.22 per share for Q2 2025 dividends.

• Delve into the full analysis dividend report here for a deeper understanding of BWG.
• The analysis detailed in our BWG valuation report hints at an deflated share price compared to its estimated value.

Wallenius Wilhelmsen (OB:WAWI)

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

Overview: Wallenius Wilhelmsen ASA operates globally in the logistics and transportation sector, with a market cap of NOK33.80 billion.

Operations: Wallenius Wilhelmsen ASA generates its revenue through three main segments: Shipping Services ($4.01 billion), Logistics Services ($1.14 billion), and Government Services ($441 million).

Dividend Yield: 19.4%

Wallenius Wilhelmsen's dividend yield ranks in the top 25% of Norwegian payers, supported by a reasonable payout ratio of 54.3% and a cash payout ratio of 40%. Despite past volatility, recent increases include a USD 0.77 per share regular and USD 0.33 special dividend for H1 2025. Earnings rose to US$380 million in Q2, up from US$292 million last year, bolstered by new contracts like the Australian automotive logistics deal worth over US$100 million.

• Unlock comprehensive insights into our analysis of Wallenius Wilhelmsen stock in this dividend report.
• Our expertly prepared valuation report Wallenius Wilhelmsen implies its share price may be lower than expected.

Mercedes-Benz Group (XTRA:MBG)

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

Overview: Mercedes-Benz Group AG is an automotive company that operates both in Germany and internationally, with a market capitalization of approximately €54.87 billion.

Operations: Mercedes-Benz Group AG generates revenue primarily from Mercedes-Benz Cars (€103.28 billion), Mercedes-Benz Vans (€17.97 billion), and Mercedes-Benz Mobility (€24.55 billion).

Dividend Yield: 7.5%

Mercedes-Benz Group's dividend yield is among the top 25% in Germany, supported by a payout ratio of 61.1% and a cash payout ratio of 33.9%. Despite historical volatility, dividends have grown over the past decade. However, recent earnings show declines with Q3 net income at €1.17 billion compared to €1.73 billion last year, reflecting challenges that may impact future payouts' stability despite current coverage by earnings and cash flows.

• Get an in-depth perspective on Mercedes-Benz Group's performance by reading our dividend report here.
• Upon reviewing our latest valuation report, Mercedes-Benz Group's share price might be too pessimistic.

Next Steps

• Delve into our full catalog of 225 Top European Dividend Stocks here.
• Shareholder in one or more of these companies? Ensure you're never caught off-guard by adding your portfolio in Simply Wall St for timely alerts on significant stock developments.
• Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.

Seeking Other Investments?

• 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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