Top Dividend Stocks To Watch In January 2025

As we enter January 2025, global markets are navigating a complex landscape marked by mixed performances across major indices and economic indicators. Despite some challenges, such as the Chicago PMI's contraction and revised GDP forecasts, the S&P 500 and Nasdaq Composite closed out 2024 with impressive gains, highlighting resilience in certain sectors. In this environment, dividend stocks can offer investors a degree of stability and income potential. A good dividend stock typically combines consistent payout history with strong fundamentals, making it an attractive option amid market fluctuations.

Top 10 Dividend Stocks

Name	Dividend Yield	Dividend Rating
Peoples Bancorp (NasdaqGS:PEBO)	5.10%	★★★★★★
Southside Bancshares (NYSE:SBSI)	4.61%	★★★★★★
Yamato Kogyo (TSE:5444)	4.04%	★★★★★★
Padma Oil (DSE:PADMAOIL)	7.41%	★★★★★★
GakkyushaLtd (TSE:9769)	4.39%	★★★★★★
China South Publishing & Media Group (SHSE:601098)	3.95%	★★★★★★
HUAYU Automotive Systems (SHSE:600741)	4.44%	★★★★★★
FALCO HOLDINGS (TSE:4671)	6.35%	★★★★★★
Premier Financial (NasdaqGS:PFC)	4.89%	★★★★★★
Citizens & Northern (NasdaqCM:CZNC)	6.07%	★★★★★★

Click here to see the full list of 1979 stocks from our Top 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 €3.78 billion.

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

Dividend Yield: 3.2%

Aalberts offers a mixed dividend profile, with payments increasing over the past decade but exhibiting volatility, including significant annual drops. The dividend yield stands at 3.24%, lower than top-tier Dutch market payers. Despite this, dividends are well-covered by earnings (41% payout ratio) and cash flows (60.4% cash payout ratio). Recent strategic moves include seeking acquisitions to bolster growth, supported by a strong balance sheet and upcoming CFO transition in April 2025.

• Navigate through the intricacies of Aalberts with our comprehensive dividend report here.
• The valuation report we've compiled suggests that Aalberts' current price could be quite moderate.

Carlo Gavazzi Holding (SWX:GAV)

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

Overview: Carlo Gavazzi Holding AG, with a market cap of CHF130.42 million, designs, manufactures, and sells electronic control components for building and industrial automation markets.

Operations: Carlo Gavazzi Holding AG generates its revenue from the design, manufacturing, and sale of electronic control components specifically for the building and industrial automation sectors.

Dividend Yield: 4.3%

Carlo Gavazzi Holding's dividend yield is competitive in the Swiss market, but its dividend payments have been unstable and declining over the past decade. Despite this volatility, dividends are covered by earnings (71.2% payout ratio) and cash flows (48.1% cash payout ratio). Recent executive changes include CFO Tobias Bissig's departure, with Yolanta de Cacqueray as interim CFO. Earnings for September 2024 show a significant decline to CHF 1.64 million from CHF 12.34 million year-on-year.

• Delve into the full analysis dividend report here for a deeper understanding of Carlo Gavazzi Holding.
• The analysis detailed in our Carlo Gavazzi Holding valuation report hints at an inflated share price compared to its estimated value.

Cancom (XTRA:COK)

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

Overview: Cancom SE, along with its subsidiaries, offers information technology services in Germany and internationally, with a market cap of €738.09 million.

Operations: Cancom SE generates revenue from its information technology services, with a significant contribution of €1.72 billion from the wholesale of computer peripherals.

Dividend Yield: 4.2%

Cancom's dividend payments are well-covered by cash flows, with a low cash payout ratio of 22.8%, and have shown stability over the past decade. Despite a reliable dividend yield of 4.2%, it is below the top tier in Germany. Recent earnings growth supports sustainability, though profit forecasts are modest at 1.07%. Earnings guidance for 2024 was lowered due to market uncertainties, impacting expected turnover between €1.65 billion and €1.75 billion from previous estimates.

• Click to explore a detailed breakdown of our findings in Cancom's dividend report.
• According our valuation report, there's an indication that Cancom's share price might be on the cheaper side.

Turning Ideas Into Actions

• Navigate through the entire inventory of 1979 Top Dividend Stocks here.
• Hold shares in these firms? Setup your portfolio in Simply Wall St to seamlessly track your investments and receive personalized updates on your portfolio's performance.
• Enhance your investing ability with the Simply Wall St app and enjoy free access to essential market intelligence spanning every continent.

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.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com