3 Premier German Dividend Stocks Yielding Up To 6.4%

With the European Central Bank cutting rates amid signs of weakening economic growth and slowing inflation, Germany's DAX has seen a notable rise of 2.17%. In this context, dividend stocks can offer a stable income stream and potential for capital appreciation. When selecting dividend stocks, it's important to consider companies with strong financial health, consistent earnings, and a history of reliable dividend payments.

Top 10 Dividend Stocks In Germany

Name	Dividend Yield	Dividend Rating
All for One Group (XTRA:A1OS)	3.25%	★★★★★☆
MLP (XTRA:MLP)	5.39%	★★★★★☆
SAF-Holland (XTRA:SFQ)	5.37%	★★★★★☆
OVB Holding (XTRA:O4B)	4.74%	★★★★★☆
Allianz (XTRA:ALV)	4.80%	★★★★★☆
Mercedes-Benz Group (XTRA:MBG)	9.37%	★★★★★☆
DATA MODUL Produktion und Vertrieb von elektronischen Systemen (XTRA:DAM)	7.69%	★★★★★☆
Uzin Utz (XTRA:UZU)	3.23%	★★★★★☆
FRoSTA (DB:NLM)	3.23%	★★★★★☆
MVV Energie (XTRA:MVV1)	3.76%	★★★★★☆

Click here to see the full list of 32 stocks from our Top German Dividend Stocks screener.

Underneath we present a selection of stocks filtered out by our screen.

MVV Energie (XTRA:MVV1)

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

Overview: MVV Energie AG, with a market cap of €2.02 billion, operates in Germany providing electricity, heat, gas, water, and waste treatment and disposal products through its subsidiaries.

Operations: MVV Energie AG generates revenue primarily from electricity (€1,825.30 million), heat (€451.20 million), gas (€1,112.70 million), water (€84.80 million), and waste treatment and disposal products (€427.50 million).

Dividend Yield: 3.8%

MVV Energie's dividend payments have been stable and reliable over the past 10 years, with a reasonable payout ratio of 47.1% and a cash payout ratio of 59.9%, indicating sustainability. However, recent earnings reports show significant drops in net income and EPS compared to last year, which could impact future dividends. The company's current dividend yield of 3.76% is below the top tier in Germany, but its P/E ratio of 12.5x suggests it is undervalued relative to the market average (16.2x).

• Take a closer look at MVV Energie's potential here in our dividend report.
• Upon reviewing our latest valuation report, MVV Energie's share price might be too optimistic.

K+S (XTRA:SDF)

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

Overview: K+S Aktiengesellschaft, with a market cap of €1.93 billion, operates globally as a supplier of mineral products for the agricultural, industrial, consumer, and community sectors through its subsidiaries.

Operations: K+S generates €3.72 billion in revenue through its Operating Unit Europe+.

Dividend Yield: 6.5%

K+S Aktiengesellschaft's recent earnings report shows a mixed picture for dividend investors. While the company reported increased sales of €873.8 million for Q2 2024, net loss narrowed to €6.1 million from €45.3 million a year ago. Despite these improvements, profit margins remain low at 0.1%, and the dividend payout ratio is unsustainable at 2952.2%. Additionally, K+S's dividends have been volatile over the past decade, raising concerns about reliability despite a high yield of 6.49%.

• Click here to discover the nuances of K+S with our detailed analytical dividend report.
• The valuation report we've compiled suggests that K+S' current price could be quite moderate.

Schloss Wachenheim (XTRA:SWA)

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

Overview: Schloss Wachenheim AG, with a market cap of €121.18 million, produces and distributes sparkling and semi-sparkling wine products in Europe and internationally.

Operations: Schloss Wachenheim AG generates €441.16 million in revenue from its alcoholic beverages segment.

Dividend Yield: 3.9%

Schloss Wachenheim's dividend of 3.92% is not well covered by free cash flows, with a high cash payout ratio of 113.1%. However, the dividend payments have been stable and reliable over the past decade, showing consistent growth. The payout ratio stands at a reasonable 54.2%, indicating coverage by earnings, though it falls short compared to top-tier German dividend payers offering higher yields around 4.88%.

• Dive into the specifics of Schloss Wachenheim here with our thorough dividend report.
• Our valuation report unveils the possibility Schloss Wachenheim's shares may be trading at a discount.

Where To Now?

• Access the full spectrum of 32 Top German Dividend Stocks by clicking on this link.
• Already own these companies? Bring clarity to your investment decisions by linking up your portfolio with Simply Wall St, where you can monitor all the vital signs of your stocks effortlessly.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

Interested In Other Possibilities?

• 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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