Stock Analysis

Top European Dividend Stocks To Consider In May 2025

BME:BBVA
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As European markets experience a boost with the STOXX Europe 600 Index rising by 3.44% amid easing tariff concerns, investors are increasingly looking towards dividend stocks as a stable source of income in this fluctuating economic climate. In such an environment, identifying dividend stocks that offer consistent payouts and potential for growth can be a strategic approach for those seeking to balance risk and reward in their portfolios.

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Top 10 Dividend Stocks In Europe

NameDividend YieldDividend Rating
Julius Bär Gruppe (SWX:BAER)4.70%★★★★★★
Bredband2 i Skandinavien (OM:BRE2)4.46%★★★★★★
Zurich Insurance Group (SWX:ZURN)4.42%★★★★★★
Rubis (ENXTPA:RUI)6.79%★★★★★★
Deutsche Post (XTRA:DHL)4.94%★★★★★★
HEXPOL (OM:HPOL B)4.93%★★★★★★
OVB Holding (XTRA:O4B)4.46%★★★★★★
S.N. Nuclearelectrica (BVB:SNN)9.64%★★★★★★
Cembra Money Bank (SWX:CMBN)4.20%★★★★★★
Banque Cantonale Vaudoise (SWX:BCVN)4.39%★★★★★★

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

Let's explore several standout options from the results in the screener.

Banco Bilbao Vizcaya Argentaria (BME:BBVA)

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

Overview: Banco Bilbao Vizcaya Argentaria, S.A. offers retail banking, wholesale banking, and asset management services across various regions including Spain, Mexico, Turkey, South America, Europe, the United States, and Asia with a market cap of €73.80 billion.

Operations: Banco Bilbao Vizcaya Argentaria, S.A. generates revenue from several key regions: €12.03 billion from Mexico, €3.90 billion from Turkey, €4.33 billion from South America, and €9.22 billion from Spain (including Non-Core Real Estate), with an additional contribution of €1.48 billion from the rest of its business operations.

Dividend Yield: 5.5%

Banco Bilbao Vizcaya Argentaria offers a compelling dividend yield of 5.47%, placing it among the top 25% of Spanish dividend payers. Despite this attractive yield, BBVA's dividend history is marked by volatility, with past fluctuations exceeding 20%. The payout ratio stands at a manageable 39.7%, suggesting current dividends are well-covered by earnings. However, concerns arise from its high level of non-performing loans (3%) and low allowance for bad loans (83%), which could impact future financial stability and dividend reliability.

BME:BBVA Dividend History as at May 2025
BME:BBVA Dividend History as at May 2025

EnviTec Biogas (XTRA:ETG)

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

Overview: EnviTec Biogas AG manufactures and operates biogas and biomethane plants across several countries, including Germany, Italy, and the United States, with a market cap of €547.97 million.

Operations: EnviTec Biogas AG's revenue is primarily derived from the manufacturing and operation of biogas and biomethane plants across various international markets.

Dividend Yield: 8.1%

EnviTec Biogas provides an attractive dividend yield of 8.13%, ranking in the top 25% of German dividend payers. Despite a payout ratio of 76.2%, indicating coverage by earnings, its dividend track record is unstable with significant volatility over the past decade, including annual drops over 20%. While trading at a significant discount to its estimated fair value, insufficient data on cash flows raises concerns about long-term sustainability and reliability of dividends.

XTRA:ETG Dividend History as at May 2025
XTRA:ETG Dividend History as at May 2025

MLP (XTRA:MLP)

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

Overview: MLP SE, with a market cap of €913.76 million, provides financial services to private, corporate, and institutional clients in Germany through its subsidiaries.

Operations: MLP SE's revenue is primarily derived from Financial Consulting (€439.96 million), FERI (€264.32 million), Banking (€223.96 million), DOMCURA (€130.74 million), Deutschland.Immobilien (€47.66 million), Industrial Broker (€38.40 million), and Holding (€18.75 million).

Dividend Yield: 4.3%

MLP's dividend is supported by a cash payout ratio of 28.5% and an earnings payout ratio of 56.8%, indicating strong coverage. However, the dividend yield of 4.3% falls short compared to top-tier German dividend payers, and its history shows volatility over the past decade despite recent increases. The company reported improved earnings with net income rising to €69.27 million in 2024, alongside announcing a €0.36 per share annual dividend for June 2025 payment.

XTRA:MLP Dividend History as at May 2025
XTRA:MLP Dividend History as at May 2025

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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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