Stock Analysis

3 Top KRX Dividend Stocks Yielding Up To 6%

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Over the last 7 days, the South Korean market has experienced a 2.8% decline, yet it remains up by 5.5% over the past year with earnings projected to grow by 29% annually. In these fluctuating conditions, dividend stocks can offer stability and income potential for investors seeking reliable returns amidst market volatility.

Top 10 Dividend Stocks In South Korea

NameDividend YieldDividend Rating
Kia (KOSE:A000270)6.02%★★★★★★
Kangwon Land (KOSE:A035250)5.73%★★★★★☆
Woori Financial Group (KOSE:A316140)4.34%★★★★★☆
HANYANG ENGLtd (KOSDAQ:A045100)3.56%★★★★★☆
Hansae (KOSE:A105630)3.23%★★★★★☆
KT (KOSE:A030200)4.68%★★★★★☆
JW Holdings (KOSE:A096760)3.45%★★★★★☆
Kyung Nong (KOSE:A002100)7.07%★★★★★☆
ORION Holdings (KOSE:A001800)4.61%★★★★★☆
Samsung Fire & Marine Insurance (KOSE:A000810)4.38%★★★★★☆

Click here to see the full list of 74 stocks from our Top KRX Dividend Stocks screener.

We're going to check out a few of the best picks from our screener tool.

Cheil Worldwide (KOSE:A030000)

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

Overview: Cheil Worldwide Inc. offers a range of marketing solutions globally and has a market cap of ₩1.86 trillion.

Operations: Cheil Worldwide Inc.'s revenue is primarily derived from its advertising segment, totaling ₩4.33 billion.

Dividend Yield: 6%

Cheil Worldwide offers a compelling dividend yield of 6.03%, placing it in the top 25% of South Korean dividend payers, with dividends well-covered by both earnings and cash flows (payout ratio: 59%, cash payout ratio: 40.5%). Despite trading at a significant discount to its estimated fair value, its dividend history is short, having been paid for only five years. Earnings are expected to grow annually by 8.12%, supporting future payouts.

KOSE:A030000 Dividend History as at Oct 2024

SNT Holdings (KOSE:A036530)

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

Overview: SNT Holdings CO., LTD operates in the auto parts and industrial facilities sectors, with a market cap of ₩334.74 billion.

Operations: SNT Holdings CO., LTD generates revenue from its Vehicle Parts segment, amounting to ₩1.30 billion, and its Industrial Equipment segment, contributing ₩303.46 million.

Dividend Yield: 4.8%

SNT Holdings' dividend yield of 4.75% ranks in the top 25% in South Korea, with a low payout ratio of 10.5%, ensuring dividends are well-covered by earnings and cash flows (cash payout ratio: 11.5%). However, its dividend history is short and volatile over the past five years. Recent financials show strong earnings growth, with net income reaching KRW 46.74 billion for Q2 2024, indicating potential for future stability if maintained.

KOSE:A036530 Dividend History as at Oct 2024

Doosan Bobcat (KOSE:A241560)

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

Overview: Doosan Bobcat Inc. designs, manufactures, markets, and distributes compact construction equipment for various industries globally, with a market cap of ₩4.09 trillion.

Operations: The company's revenue primarily comes from its construction equipment segment, totaling $6.99 billion.

Dividend Yield: 3.9%

Doosan Bobcat's dividend yield of 3.91% is among the top quartile in South Korea, supported by a low payout ratio of 31% and cash payout ratio of 25.9%, indicating solid coverage by earnings and cash flows. However, its dividend history is volatile with less than a decade of payments, lacking reliability. Recent financials show declining performance with Q2 sales at US$1.63 billion and net income at US$114.47 million, down from the previous year.

KOSE:A241560 Dividend History as at Oct 2024

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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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