Top European Dividend Stocks For July 2025

As the European markets navigate a period of mixed returns, with the pan-European STOXX Europe 600 Index remaining relatively flat and major indices showing varied performances, investors are keenly observing economic indicators such as inflation rates and labor market stability. In this context, dividend stocks can offer a compelling opportunity for those seeking stable income streams amidst uncertain market conditions.

Top 10 Dividend Stocks In Europe

Click here to see the full list of 236 stocks from our Top European Dividend Stocks screener.

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

CaixaBank (BME:CABK)

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

Overview: CaixaBank, S.A. is a financial institution offering a range of banking products and services in Spain and internationally, with a market cap of €53.92 billion.

Operations: CaixaBank's revenue segments include the Portuguese Investment Bank (BPI) contributing €1.20 billion.

Dividend Yield: 7.5%

CaixaBank's dividend yield is among the top 25% in Spain, supported by a payout ratio of 57.3%, indicating current coverage by earnings. However, its dividend history has been unreliable and volatile over the past decade. Recent earnings growth and a low allowance for bad loans at 70% provide some stability, though high non-performing loans at 2.5% could pose risks. Additionally, ongoing M&A discussions regarding Novo Banco might impact future financial strategies and dividend policies.

• Take a closer look at CaixaBank's potential here in our dividend report.
• The analysis detailed in our CaixaBank valuation report hints at an inflated share price compared to its estimated value.

Olvi Oyj (HLSE:OLVAS)

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

Overview: Olvi Oyj is a beverage company that manufactures and sells alcoholic and non-alcoholic beverages across Finland, Estonia, Latvia, Lithuania, Denmark, and Belarus with a market cap of €709.15 million.

Operations: Olvi Oyj generates revenue primarily from its alcoholic beverages segment, which accounts for €659.34 million.

Dividend Yield: 3.8%

Olvi Oyj's dividend has been stable and growing over the past decade, with a recent increase to €1.30 per share. Despite a payout ratio of 43.6%, indicating coverage by earnings, the dividend is not well supported by free cash flows due to a high cash payout ratio of 91.9%. Recent financial results show modest revenue growth and improved net income, though its dividend yield of 3.8% is lower than top-tier Finnish payers.

• Delve into the full analysis dividend report here for a deeper understanding of Olvi Oyj.
• Insights from our recent valuation report point to the potential undervaluation of Olvi Oyj shares in the market.

Mercedes-Benz Group (XTRA:MBG)

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

Overview: Mercedes-Benz Group AG is a global automotive company based in Germany, with a market capitalization of approximately €48.67 billion.

Operations: Mercedes-Benz Group AG generates revenue primarily from its Mercedes-Benz Cars segment (€106.29 billion), Mercedes-Benz Vans segment (€18.51 billion), and Mercedes-Benz Mobility segment (€24.65 billion).

Dividend Yield: 8.5%

Mercedes-Benz Group offers a high dividend yield, ranking in the top 25% of German payers. The dividends are well-covered by earnings and cash flows, with payout ratios of 47.4% and 39.6%, respectively, despite an unstable track record over the past decade. Recent strategic expansions in North America and significant investments in EV infrastructure highlight its commitment to growth, though recent financials reveal declining sales and net income compared to last year.

• Click to explore a detailed breakdown of our findings in Mercedes-Benz Group's dividend report.
• In light of our recent valuation report, it seems possible that Mercedes-Benz Group is trading behind its estimated value.

Seize The Opportunity

• Dive into all 236 of the Top European Dividend Stocks we have identified here.
• Have a stake in these businesses? Integrate your holdings into Simply Wall St's portfolio for notifications and detailed stock reports.
• Simply Wall St is your key to unlocking global market trends, a free user-friendly app for forward-thinking investors.

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.

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