Stock Analysis

Top Dividend Stocks To Consider In January 2025

ENXTLS:IBS
Source: Shutterstock

As global markets navigate a mixed start to the new year, with major indices reflecting both gains and declines amid economic uncertainties, investors are turning their focus towards reliable income sources like dividend stocks. In light of recent market dynamics, characterized by fluctuating indices and economic indicators such as the Chicago PMI and GDP forecasts, selecting dividend stocks that offer consistent payouts can be an appealing strategy for those seeking stability in their investment portfolios.

Top 10 Dividend Stocks

NameDividend YieldDividend Rating
Peoples Bancorp (NasdaqGS:PEBO)5.11%★★★★★★
Tsubakimoto Chain (TSE:6371)4.26%★★★★★★
CAC Holdings (TSE:4725)4.78%★★★★★★
Southside Bancshares (NYSE:SBSI)4.63%★★★★★★
Padma Oil (DSE:PADMAOIL)7.41%★★★★★★
FALCO HOLDINGS (TSE:4671)6.42%★★★★★★
Premier Financial (NasdaqGS:PFC)4.91%★★★★★★
E J Holdings (TSE:2153)3.81%★★★★★★
Citizens & Northern (NasdaqCM:CZNC)6.14%★★★★★★
Banque Cantonale Vaudoise (SWX:BCVN)4.99%★★★★★★

Click here to see the full list of 1973 stocks from our Top Dividend Stocks screener.

Let's review some notable picks from our screened stocks.

Ibersol S.G.P.S (ENXTLS:IBS)

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

Overview: Ibersol, S.G.P.S., S.A. operates a network of restaurants in Portugal, Spain, and Angola through its subsidiaries and has a market cap of €309.42 million.

Operations: Ibersol S.G.P.S. generates its revenue from Counters (€172.83 million), Restaurants (€111.42 million), and Concessions, Travel, and Catering (€168.70 million).

Dividend Yield: 6.6%

Ibersol S.G.P.S. offers a dividend yield of 6.58%, placing it among the top 25% of dividend payers in Portugal, but its payments have been unreliable and volatile over the past decade. Despite a low cash payout ratio of 48.3%, dividends are not well covered by earnings due to a high payout ratio of 145.9%. Recent earnings showed growth, with Q3 net income at €7.35 million, up from €6.9 million last year, indicating potential for future stability if trends continue.

ENXTLS:IBS Dividend History as at Jan 2025
ENXTLS:IBS Dividend History as at Jan 2025

Allianz (XTRA:ALV)

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

Overview: Allianz SE, with a market cap of €115.39 billion, operates globally through its subsidiaries offering property-casualty insurance, life/health insurance, and asset management products and services.

Operations: Allianz SE generates revenue through its key segments: Property-Casualty insurance (€76.40 billion), Life/Health insurance (€37.11 billion), and Asset Management (€3.35 billion).

Dividend Yield: 4.6%

Allianz's dividend payments have been stable and growing over the past decade, with a current yield of 4.6%, slightly below the top tier in Germany. Dividends are well-covered by earnings (60% payout ratio) and cash flows (23% cash payout ratio), indicating sustainability. Recent earnings growth supports this stability, with Q3 net income rising to €2.47 billion from €2.02 billion last year, while strategic acquisitions and divestments could impact future financial dynamics.

XTRA:ALV Dividend History as at Jan 2025
XTRA:ALV Dividend History as at Jan 2025

Uzin Utz (XTRA:UZU)

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

Overview: Uzin Utz SE develops, manufactures, and sells construction chemical system products in Germany, the United States, Netherlands, and internationally with a market cap of €246.16 million.

Operations: Uzin Utz SE generates revenue through various segments including Germany - Laying Systems (€209.68 million), Western Europe (€81.64 million), Netherlands - Laying Systems (€83.59 million), USA - Laying Systems (€73.60 million), Netherlands - Wholesale (€33.66 million), Germany - Surface Care and Refinement (€34.21 million), South/Eastern Europe (€27.70 million), and Germany - Machinery and Tools (€31.94 million).

Dividend Yield: 3.3%

Uzin Utz's dividend payments have been reliable and stable over the past decade, with a modest yield of 3.25%, below Germany's top tier. The company's dividends are well-covered by earnings (33.8% payout ratio) and cash flows (19.9% cash payout ratio), ensuring sustainability. Earnings have grown 1.9% annually over five years, supporting continued dividend growth, while its price-to-earnings ratio of 10.4x suggests it is valued attractively compared to the broader German market at 16.2x.

XTRA:UZU Dividend History as at Jan 2025
XTRA:UZU Dividend History as at Jan 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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