As European markets experience a pullback from record highs amid political turmoil in France and renewed global trade tensions, investors are increasingly turning their attention to dividend stocks for stability and income. In such uncertain times, a good dividend stock is often characterized by its consistent payout history and resilience to economic fluctuations, making it an attractive option for those seeking steady returns amidst market volatility.
Top 10 Dividend Stocks In Europe
| Name | Dividend Yield | Dividend Rating |
| Zurich Insurance Group (SWX:ZURN) | 4.33% | ★★★★★★ |
| Scandinavian Tobacco Group (CPSE:STG) | 9.88% | ★★★★★★ |
| Holcim (SWX:HOLN) | 4.72% | ★★★★★★ |
| HEXPOL (OM:HPOL B) | 5.09% | ★★★★★★ |
| DKSH Holding (SWX:DKSH) | 4.31% | ★★★★★★ |
| Credito Emiliano (BIT:CE) | 5.52% | ★★★★★☆ |
| Cembra Money Bank (SWX:CMBN) | 4.58% | ★★★★★★ |
| CaixaBank (BME:CABK) | 6.36% | ★★★★★☆ |
| Bravida Holding (OM:BRAV) | 4.04% | ★★★★★★ |
| Banque Cantonale Vaudoise (SWX:BCVN) | 4.63% | ★★★★★☆ |
Click here to see the full list of 226 stocks from our Top European Dividend Stocks screener.
Let's take a closer look at a couple of our picks from the screened companies.
Semapa - Sociedade de Investimento e Gestão SGPS (ENXTLS:SEM)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Semapa - Sociedade de Investimento e Gestão SGPS operates through its subsidiaries to produce and sell pulp, printing and writing papers, and tissues across various regions including Portugal, Europe, the United States, Africa, Asia, and Oceania with a market cap of €1.50 billion.
Operations: Semapa - Sociedade de Investimento e Gestão SGPS generates revenue from its segments with €2.04 billion from Pulp and Paper and €721.78 million from Cement, complemented by €20.04 million from Holdings.
Dividend Yield: 3.3%
Semapa's dividend sustainability is supported by a low payout ratio of 26.3%, with dividends well covered by both earnings and cash flows. However, the company's dividend history has been volatile, showing significant annual drops over the past decade. Recent earnings report indicates a decline in net income to €49.9 million for Q2 2025 from €83.6 million in Q2 2024, which may impact future payouts despite current coverage levels. The stock trades at good value compared to peers but carries high debt levels.
- Dive into the specifics of Semapa - Sociedade de Investimento e Gestão SGPS here with our thorough dividend report.
- Upon reviewing our latest valuation report, Semapa - Sociedade de Investimento e Gestão SGPS' share price might be too pessimistic.
Alior Bank (WSE:ALR)
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Alior Bank S.A. is a Polish financial institution offering a range of banking products and services to individuals, businesses, and enterprises, with a market capitalization of PLN13.64 billion.
Operations: Alior Bank S.A. generates revenue through its Treasury operations (PLN841.03 million), services for Retail Customers (PLN3.28 billion), and offerings for Business Customers (PLN1.59 billion).
Dividend Yield: 8.8%
Alior Bank's dividend yield is among the top 25% in Poland at 8.8%, with a sustainable payout ratio of 50%. Although dividends have grown, they have only been paid for two years, limiting historical reliability. The bank's earnings are expected to decline by an average of 4% annually over the next three years, potentially affecting future payouts. Despite trading below fair value and analyst targets suggesting a price rise, Alior faces challenges with high bad loans at 5.9%.
- Click to explore a detailed breakdown of our findings in Alior Bank's dividend report.
- Our valuation report unveils the possibility Alior Bank's shares may be trading at a discount.
Deutsche Telekom (XTRA:DTE)
Simply Wall St Dividend Rating: ★★★★★☆
Overview: Deutsche Telekom AG, with a market cap of €141.42 billion, offers integrated telecommunication services globally through its subsidiaries.
Operations: Deutsche Telekom AG generates revenue from several segments, including Europe (€12.49 billion), Germany (€25.55 billion), the United States (€77.15 billion), Systems Solutions (€4.05 billion), and Group Headquarters & Group Services (€2.22 billion).
Dividend Yield: 3%
Deutsche Telekom's dividend yield stands at 3.04%, below the top tier in Germany, yet dividends have been stable and growing for a decade. The payout is sustainable with low payout ratios of 35% from earnings and 18.7% from cash flow, indicating strong coverage. Despite high debt levels, the stock trades significantly below its estimated fair value. Recent strategic partnerships in IoT and smart technology signal potential growth avenues beyond traditional telecom services.
- Click here to discover the nuances of Deutsche Telekom with our detailed analytical dividend report.
- Our valuation report here indicates Deutsche Telekom may be undervalued.
Summing It All Up
- Access the full spectrum of 226 Top European Dividend Stocks by clicking on this link.
- Have you diversified into these companies? Leverage the power of Simply Wall St's portfolio to keep a close eye on market movements affecting your investments.
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Seeking Other Investments?
- Explore high-performing small cap companies that haven't yet garnered significant analyst attention.
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- 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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