Top KRX Dividend Stocks Yielding Up To 3.7%

The Financials sector in South Korea gained 4.1% while the market remained flat over the last week, and the overall market is up 3.4% over the past year with earnings forecast to grow by 29% annually. In this environment, identifying strong dividend stocks can be a prudent strategy for investors seeking steady income and potential growth.

Top 10 Dividend Stocks In South Korea

Name	Dividend Yield	Dividend Rating
Kia (KOSE:A000270)	5.00%	★★★★★★
LOTTE Fine Chemical (KOSE:A004000)	4.31%	★★★★★☆
NH Investment & Securities (KOSE:A005940)	5.76%	★★★★★☆
Industrial Bank of Korea (KOSE:A024110)	7.03%	★★★★★☆
Kyung Nong (KOSE:A002100)	6.53%	★★★★★☆
KT (KOSE:A030200)	5.02%	★★★★★☆
HANYANG ENGLtd (KOSDAQ:A045100)	3.22%	★★★★★☆
Korea Cast Iron Pipe Ind (KOSE:A000970)	6.01%	★★★★☆☆
Hansae Yes24 Holdings (KOSE:A016450)	5.52%	★★★★☆☆
Samyang (KOSE:A145990)	3.54%	★★★★☆☆

Click here to see the full list of 72 stocks from our Top KRX Dividend Stocks screener.

Here we highlight a subset of our preferred stocks from the screener.

Hy-Lok (KOSDAQ:A013030)

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

Overview: Hy-Lok Corporation operates in the fluid and control system industry worldwide with a market cap of ₩343.71 billion.

Operations: Hy-Lok Corporation generates ₩192.91 billion from manufacturing and selling fittings for mechanical equipment, flange valves, unions, and nipples.

Dividend Yield: 3.7%

Hy-Lok's dividend payments are well-covered by earnings and cash flows, with a payout ratio of 26.8% and a cash payout ratio of 34.7%. The company has maintained stable dividends, although it has only been paying them for five years. Recent buybacks totaling KRW 14.99 billion could indicate confidence in future performance. While trading at 62.4% below estimated fair value, Hy-Lok's dividend yield (3.75%) is among the top in the South Korean market.

• Unlock comprehensive insights into our analysis of Hy-Lok stock in this dividend report.
• According our valuation report, there's an indication that Hy-Lok's share price might be on the cheaper side.

Shinhan Financial Group (KOSE:A055550)

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

Overview: Shinhan Financial Group Co., Ltd. provides financial products and services in South Korea and internationally, with a market cap of ₩30.46 trillion.

Operations: Shinhan Financial Group Co., Ltd. operates through various revenue segments, including retail banking, corporate banking, credit cards, and investment banking services.

Dividend Yield: 3.5%

Shinhan Financial Group has a history of volatile dividend payments over the past decade, though recent increases are notable. Its dividends are well-covered by earnings with an 18.7% payout ratio, forecasted to remain sustainable at 23.7% in three years. Recent buybacks totaling KRW 150 billion and a quarterly dividend payment of KRW 273.36 billion underscore its commitment to returning value to shareholders despite lower profit margins compared to last year.

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

BGF retail (KOSE:A282330)

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

Overview: BGF Retail Co., Ltd. operates convenience stores in South Korea and has a market cap of ₩1.87 trillion.

Operations: BGF Retail Co., Ltd.'s revenue from its convenience stores segment is ₩8.30 billion.

Dividend Yield: 3.8%

BGF Retail's dividend payments have increased over the past six years, though its track record is relatively short. With a payout ratio of 37%, dividends are well-covered by earnings and free cash flows (cash payout ratio: 20.1%). The current dividend yield of 3.79% places it in the top 25% of South Korean market payers. Despite stable and reliable payments, the company has yet to establish a long-term history in dividend distribution.

• Click here and access our complete dividend analysis report to understand the dynamics of BGF retail.
• Upon reviewing our latest valuation report, BGF retail's share price might be too pessimistic.

Summing It All Up

• Click through to start exploring the rest of the 69 Top KRX Dividend Stocks now.
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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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