3 Top Dividend Stocks On Euronext Amsterdam

As European inflation nears the central bank’s target, the Euronext Amsterdam has seen a rally, supported by expectations of potential interest rate cuts. This economic backdrop provides a favorable environment for dividend stocks, which can offer investors steady income streams during periods of market uncertainty. When evaluating dividend stocks, it's crucial to consider their yield stability and payout ratio in relation to current market conditions.

Top 5 Dividend Stocks In The Netherlands

Name	Dividend Yield	Dividend Rating
Koninklijke Heijmans (ENXTAM:HEIJM)	3.67%	★★★★☆☆
Aalberts (ENXTAM:AALB)	3.24%	★★★★☆☆
Randstad (ENXTAM:RAND)	5.26%	★★★★☆☆
ABN AMRO Bank (ENXTAM:ABN)	9.78%	★★★★☆☆
Signify (ENXTAM:LIGHT)	7.28%	★★★★☆☆
ING Groep (ENXTAM:INGA)	6.81%	★★★★☆☆
Acomo (ENXTAM:ACOMO)	6.66%	★★★★☆☆

Click here to see the full list of 7 stocks from our Top Euronext Amsterdam Dividend Stocks screener.

Below we spotlight a couple of our favorites from our exclusive screener.

Aalberts (ENXTAM:AALB)

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

Overview: Aalberts N.V. provides mission-critical technologies for the aerospace, automotive, building, and maritime sectors with a market cap of €3.85 billion.

Operations: Aalberts N.V. generates revenue primarily from its Building Technology segment (€1.74 billion) and Industrial Technology segment (€1.49 billion).

Dividend Yield: 3.2%

Aalberts N.V. reported a slight decline in sales and net income for H1 2024, with earnings per share decreasing from €1.45 to €1.35 year-over-year. Despite this, the company maintains a reasonable dividend payout ratio of 41%, indicating dividends are well-covered by earnings and cash flows. The recent inauguration of its hydronic flow control technology cluster in Almere highlights Aalberts' focus on sustainable growth, potentially supporting future dividend stability despite past volatility.

• Click here to discover the nuances of Aalberts with our detailed analytical dividend report.
• In light of our recent valuation report, it seems possible that Aalberts is trading behind its estimated value.

ING Groep (ENXTAM:INGA)

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

Overview: ING Groep N.V. offers a range of banking products and services across the Netherlands, Belgium, Germany, other parts of Europe, and internationally with a market cap of €51.57 billion.

Operations: ING Groep N.V.'s revenue segments include Retail Banking in the Netherlands (€4.97 billion), Belgium (€2.61 billion), and Germany (€2.97 billion), as well as Wholesale Banking (€6.69 billion) and Corporate Line Banking (€334 million).

Dividend Yield: 6.8%

ING Groep's dividend payments have been volatile over the past nine years, with a payout ratio of 69.8% indicating coverage by earnings. The company has announced an interim dividend of €0.35 per share for H1 2024, aligning with its distribution policy. Despite recent declines in net interest income and net income, ING remains among the top 25% of Dutch dividend payers and has undertaken significant share buybacks totaling €4 billion since May 2023.

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

Randstad (ENXTAM:RAND)

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

Overview: Randstad N.V. offers work and human resources (HR) services solutions, with a market cap of €7.61 billion.

Operations: Randstad N.V.'s revenue segments include Staffing (€15.72 billion), Inhouse Services (€5.11 billion), and Professionals (€4.14 billion).

Dividend Yield: 5.3%

Randstad's recent share buyback program, totaling €399.95 million, underscores its commitment to returning capital to shareholders. However, its dividend yield of 5.26% falls short of the top quartile in the Dutch market. While dividends are covered by both earnings (81.3% payout ratio) and cash flows (51.5%), they have been volatile over the past decade with inconsistent growth patterns. Recent earnings showed a decline in net income and profit margins compared to last year, reflecting some financial challenges.

• Dive into the specifics of Randstad here with our thorough dividend report.
• Our valuation report unveils the possibility Randstad's shares may be trading at a discount.

Key Takeaways

• Explore the 7 names from our Top Euronext Amsterdam Dividend Stocks screener here.
• Already own these companies? Link your portfolio to Simply Wall St and get alerts on any new warning signs to your stocks.
• Discover a world of investment opportunities with Simply Wall St's free app and access unparalleled stock analysis across all markets.

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.

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