Top Dividend Stocks To Consider In February 2025

As global markets navigate a landscape marked by fluctuating corporate earnings and geopolitical uncertainties, investors are keeping a close eye on interest rate movements and inflation trends. With the Federal Reserve maintaining its current rates amid solid economic growth and the European Central Bank cutting rates to support investor sentiment, dividend stocks remain an attractive option for those seeking steady income streams in volatile times. A good dividend stock typically offers a reliable payout history, sustainable earnings to support dividends, and resilience in uncertain market conditions.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Totech (TSE:9960)	3.84%	★★★★★★
Tsubakimoto Chain (TSE:6371)	4.33%	★★★★★★
Wuliangye YibinLtd (SZSE:000858)	4.05%	★★★★★★
Daito Trust ConstructionLtd (TSE:1878)	4.01%	★★★★★★
GakkyushaLtd (TSE:9769)	4.46%	★★★★★★
China South Publishing & Media Group (SHSE:601098)	4.01%	★★★★★★
Guangxi LiuYao Group (SHSE:603368)	3.41%	★★★★★★
HUAYU Automotive Systems (SHSE:600741)	4.46%	★★★★★★
Nihon Parkerizing (TSE:4095)	3.95%	★★★★★★
FALCO HOLDINGS (TSE:4671)	6.70%	★★★★★★

Click here to see the full list of 1961 stocks from our Top Dividend Stocks screener.

Let's dive into some prime choices out of the screener.

R.A.K. Ceramics P.J.S.C (ADX:RAKCEC)

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

Overview: R.A.K. Ceramics P.J.S.C. manufactures and sells a range of ceramic products across the Middle East, Europe, Asian countries, and internationally, with a market cap of AED2.58 billion.

Operations: R.A.K. Ceramics P.J.S.C. generates revenue primarily from Ceramic Products at AED3.21 billion, followed by Faucets at AED520.47 million, and Other Industrial products at AED183.75 million.

Dividend Yield: 7.7%

R.A.K. Ceramics P.J.S.C.'s dividend yield of 7.69% places it among the top 25% in the AE market, but its high payout ratio (127.8%) indicates dividends are not well covered by earnings, though cash flows do cover them with a 65.7% cash payout ratio. Despite growth over the past decade, dividends have been volatile and unreliable, compounded by a recent decline in net income to AED 54.49 million for Q3 2024 from AED 77 million last year.

• Click here to discover the nuances of R.A.K. Ceramics P.J.S.C with our detailed analytical dividend report.
• Our valuation report here indicates R.A.K. Ceramics P.J.S.C may be undervalued.

TF1 (ENXTPA:TFI)

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

Overview: TF1 SA operates in broadcasting, studios and entertainment, and digital sectors both in France and internationally, with a market cap of €1.60 billion.

Operations: TF1 SA generates revenue through its Newen Studios segment (€385.70 million) and Media (including Digital) segment (€2.02 billion).

Dividend Yield: 7.2%

TF1 offers a dividend yield of 7.18%, ranking it in the top 25% of French market payers, with dividends covered by earnings and cash flows at payout ratios of 58.7% and 56.6%, respectively. However, its dividend history is unstable, showing volatility over the past decade without growth. Despite this, TF1 trades at a significant discount to its estimated fair value and anticipates continued earnings growth following recent presentations at the CIC Market Solutions Forum in France.

• Dive into the specifics of TF1 here with our thorough dividend report.
• Insights from our recent valuation report point to the potential undervaluation of TF1 shares in the market.

Orell Füssli (SWX:OFN)

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

Overview: Orell Füssli AG, with a market cap of CHF152.49 million, operates in security solutions and book retailing both within Switzerland and internationally.

Operations: Orell Füssli AG generates revenue from its Book Trade segment with CHF118.52 million, Security Printing at CHF75.94 million, and Industrial Systems contributing CHF21.24 million.

Dividend Yield: 5%

Orell Füssli's dividend yield of 5% places it among the top 25% in the Swiss market. Despite a volatile nine-year history with unreliable payments, dividends are covered by earnings (payout ratio: 86.9%) and well-supported by cash flows (cash payout ratio: 33%). The company's price-to-earnings ratio of 17.4x is favorable compared to the broader Swiss market at 22x, suggesting potential value for investors seeking income alongside moderate growth prospects.

• Click to explore a detailed breakdown of our findings in Orell Füssli's dividend report.
• Our comprehensive valuation report raises the possibility that Orell Füssli is priced higher than what may be justified by its financials.

Taking Advantage

• Gain an insight into the universe of 1961 Top Dividend Stocks by clicking here.
• Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks.
• Invest smarter with the free Simply Wall St app providing detailed insights into every stock market around the globe.

Curious About Other Options?

• 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