Top German Dividend Stocks To Consider In October 2024

As geopolitical tensions in the Middle East escalate, European markets, including Germany's DAX, have experienced declines amid investor caution and rising oil prices. With the prospect of an interest rate cut by the European Central Bank due to slowing growth and inflation, investors are increasingly looking at dividend stocks as a potential source of steady income in uncertain times. In this environment, identifying strong German dividend stocks involves considering companies with robust cash flows and stable earnings that can sustain their dividend payouts despite market volatility.

Top 10 Dividend Stocks In Germany

Name	Dividend Yield	Dividend Rating
Edel SE KGaA (XTRA:EDL)	6.73%	★★★★★★
Deutsche Post (XTRA:DHL)	4.84%	★★★★★★
SAF-Holland (XTRA:SFQ)	5.56%	★★★★★☆
OVB Holding (XTRA:O4B)	4.71%	★★★★★☆
DATA MODUL Produktion und Vertrieb von elektronischen Systemen (XTRA:DAM)	7.46%	★★★★★☆
Allianz (XTRA:ALV)	4.72%	★★★★★☆
Uzin Utz (XTRA:UZU)	3.28%	★★★★★☆
Mercedes-Benz Group (XTRA:MBG)	9.19%	★★★★★☆
FRoSTA (DB:NLM)	3.25%	★★★★★☆
MVV Energie (XTRA:MVV1)	3.69%	★★★★★☆

Click here to see the full list of 33 stocks from our Top German Dividend Stocks screener.

We'll examine a selection from our screener results.

Mercedes-Benz Group (XTRA:MBG)

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

Overview: Mercedes-Benz Group AG operates as an automotive company both in Germany and internationally, with a market cap of €55.28 billion.

Operations: Mercedes-Benz Group AG generates revenue through its segments: Mercedes-Benz Cars (€109.58 billion), Mercedes-Benz Vans (€20.22 billion), and Mercedes-Benz Mobility (€26.78 billion).

Dividend Yield: 9.2%

Mercedes-Benz Group offers a compelling dividend yield, ranking in the top 25% of German market payers. Its dividends are well-covered by earnings with a payout ratio of 43.3%, and cash flows cover its payments despite an 80.7% cash payout ratio. However, past dividend reliability has been inconsistent, with volatility over the last decade. While trading below fair value estimates, investors should note potential earnings declines and consider its financial position regarding debt coverage by operating cash flow.

• Click here to discover the nuances of Mercedes-Benz Group with our detailed analytical dividend report.
• The analysis detailed in our Mercedes-Benz Group valuation report hints at an deflated share price compared to its estimated value.

MPC Münchmeyer Petersen Capital (XTRA:MPCK)

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

Overview: MPC Münchmeyer Petersen Capital AG is a publicly owned investment manager with a market cap of €162.85 million.

Operations: MPC Münchmeyer Petersen Capital AG generates its revenue from Management Services (€33.76 million) and Transaction Services (€7.26 million).

Dividend Yield: 5.8%

MPC Münchmeyer Petersen Capital's dividend yield is among the top 25% in Germany, supported by a manageable payout ratio of 54.8% and a low cash payout ratio of 28.7%, ensuring coverage by earnings and cash flows. Despite only three years of dividend payments, recent earnings growth and increased sales indicate potential for sustainability. However, future earnings are expected to decline, which could impact long-term dividend stability despite current undervaluation against fair value estimates.

• Get an in-depth perspective on MPC Münchmeyer Petersen Capital's performance by reading our dividend report here.
• Our valuation report unveils the possibility MPC Münchmeyer Petersen Capital's shares may be trading at a discount.

Logwin (XTRA:TGHN)

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

Overview: Logwin AG offers logistics and transport solutions across Germany, Austria, other European countries, Asia/Pacific, and internationally with a market cap of €714.05 million.

Operations: Logwin AG's revenue is primarily derived from its Air + Ocean segment at €954.25 million and its Solutions segment at €275.78 million.

Dividend Yield: 5.6%

Logwin's dividend yield ranks in the top 25% of German stocks, supported by a payout ratio of 57% and a cash payout ratio of 59.4%, indicating coverage by earnings and cash flows. Despite only seven years of dividend history, payments have been stable with growth. However, recent financial results show declining sales (EUR 643.5 million) and net income (EUR 31.86 million), which may affect future dividend sustainability amid expected earnings declines.

• Take a closer look at Logwin's potential here in our dividend report.
• Our valuation report here indicates Logwin may be undervalued.

Next Steps

• Click this link to deep-dive into the 33 companies within our Top German Dividend Stocks screener.
• Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance.
• Join a community of smart investors by using Simply Wall St. It's free and delivers expert-level analysis on worldwide markets.

Ready For A Different Approach?

• 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