The 10 Best Eurozone Dividend Stocks in…

To find the 10 best income-focused stocks of the month, we looked at the Morningstar Eurozone Index – which measures the performance of the broad regional markets of the eurozone, targeting the top 97% of stocks by market capitalization – for companies with a dividend yield of term of at least 1.5%, excluding real estate investment trusts.

The best eurozone dividend stocks since August 2024

1. OCI Global (OCI)
2. SBM Offshore (SBMO)
3. Neste (NESTE)
4. Metro (B4B)
5. Orion (ORNAV)
6. Rational Austria (RAA)
7. Hannover Re (HNR1)
8. IMCD (IMCD)
9. Talanx (TLX)
10. Corbion (CRBN)

How have dividend stocks fared?

The Morningstar Eurozone Dividend Yield Focus Index, which tracks the performance of high-quality, dividend-paying stocks listed in Europe, is up 2.6% over the past month and 11.9% over the past year.

The global eurozone stock market, as measured by the Morningstar Eurozone index, gained 1.5% for the month and 15.9% for the year.

Yields and values ​​for August’s best-performing dividend stocks

OCI Global
Dutch specialty chemicals company OCI Global rose 28.6% in August and has gained 26.1% over the past 12 months. Trading at €29.04 per share, its shares have a forward dividend yield of 5.85%. OCI Global pays investors a trailing 12-month dividend of €0.82 per share. The stock has a Morningstar Quantitative Rating of 3 stars.

SBM Offshore
Dutch oil and gas equipment and services company SBM Offshore rose 14.0% in August and has gained 33.4% over the past 12 months. At €16.88 per share, its shares have a forward dividend yield of 4.53% and a trailing 12-month dividend of €0.74 per share. It has a Morningstar quantitative rating of 3 stars.

nIt
Finnish oil and gas company Neste gained 13.3% in August and is down 33.4% over the past 12 months. The share price of €20.79 gives it a forward dividend yield of 5.77%. Neste pays investors a trailing 12-month dividend of €1.11 per share. The stock has a Morningstar Quantitative Rating of 3 stars.

Metro
German food retailer Metro rose 13.3% in August and has lost 27.6% over the past 12 months. Trading at €4.80 per share, Metro shares have a forward dividend yield of 11.45% and a trailing 12-month dividend of €0.55 per share. It has a Morningstar quantitative rating of 3 stars.

Orion
Finnish drugmaker Orion gained 12.8% in August and is up 27.4% over the past 12 months. It trades at €47.85 per share, its forward dividend yield is 3.39%. Orion pays investors a trailing 12-month dividend of €0.81 per share. It has a Morningstar quantitative rating of 3 stars.

Rational Austria
German specialty industrial machinery firm Rational Austria gained 12.6% in August and is up 31.5% over the past 12 months. At €903 per share, Rational Austria shares have a forward dividend yield of 1.5% and a trailing 12-month dividend of €13.50 per share. The stock, which has a narrow economic moat, is significantly overvalued, trading 43% above its estimated fair value of €630 per share. It has a Morningstar rating of 1 star.

Hanover Re
German reinsurer Hannover Re rose 11.6% in August and has gained 34.3% over the past 12 months. Trading at €258 per share, Hannover Re shares have a forward dividend yield of 2.33% and a trailing 12-month dividend of €6 per share. The stock, which has no economic basis, is trading close to its estimated fair value of €235 per share. It has a Morningstar rating of 3 stars.

IMCD
Dutch specialty chemicals company IMCD rose 11.1% in August and has gained 17.9% over the past 12 months. Trading at €147.20 per share, IMCD shares have a forward dividend yield of 1.52% and pay investors a trailing 12-month dividend of €2.24 per share. The stock has a Morningstar Quantitative Rating of 3 stars.

Talanx
German diversified insurer Talanx gained 10.8% in August and is up 29.3% over the past 12 months. The share price of €78.60 gives it a forward dividend yield of 2.99%. Talanx pays investors a 12-month dividend of €2.35 per share. With an estimated fair value of €62.20 per share and no economic upside, the stock is moderately overvalued, trading at a 26% premium. It has a Morningstar rating of 2 stars.

Raven
Dutch specialty chemicals company Corbion rose 10.6% in August and has gained 6.7% over the past 12 months. At €22.96 per share, Corbion has a forward dividend yield of 2.66% and a trailing 12-month dividend of €0.61 per share. It has a Morningstar quantitative rating of 3 stars.

What is the Morningstar Eurozone Index?

The Morningstar Eurozone Index measures the performance of the broad regional markets of the eurozone, targeting the top 97% of stocks by market capitalization. The index does not incorporate environmental, social or governance criteria.

What is the Morningstar Eurozone Dividend Yield Focus Index?

The Morningstar Eurozone Dividend Yield Focus Index captures the performance of a portfolio of high-quality, dividend-paying securities.

It is a subset of the Morningstar Eurozone Index (which represents 97% of the equity market capitalization) that includes only dividend-paying stocks. Stocks are analyzed to determine economic strength and financial strength compared to others in their sector. Real estate investment trusts are excluded.

From there, the 25 highest-yielding stocks are included in the index, weighted by the dollar value of dividends. See the full regulation here.

Best Dividend Stock Leaders: More Ideas to Consider

Investors who would like to discover more top-performing or cheap dividend stocks to research further can do the following:

• See the full list of dividend stocks included in the Morningstar Eurozone Dividend Yield Focus index. Those dividend stocks with Morningstar ratings of 4 or 5 stars are undervalued, according to our statistics.

• Read our monthly analysis of the latest dividend movements among the top FTSE 100 dividend payers.

• Use our Morningstar Screener tool to find the best dividend stocks according to your specific criteria. You can search for stocks based on dividend yields, valuation measures such as price/earnings, and more.

• Use Morningstar Portfolio Manager to create a watchlist of the best dividend stocks and create a visualization that lets you easily track the valuations, ratings and dividend yields of the stocks on your list.

• When it comes to buying stocks, there’s more to it than just dividends. Read here how valuations and competitive advantages, known as economic moats, matter when it comes to a stock’s potential for outperformance.

• Watch this video to learn how Morningstar uses star rating, trench rating and other metrics to rate stocks.

Companies not formally covered by a Morningstar analyst are statistically correlated with analyst-rated companies, allowing our models to calculate a quantitative star rating.

This article was compiled by Bella Albrecht, edited by Lauren Solberg and reviewed by Sunniva Kolostyak.

This article was generated using automation and reviewed by Morningstar editors.