Morningstar selects best European dividend stocks based on specialized indices and valuation

From Morningstar: 2024-08-09 07:11:00

Dividend investing requires thorough analysis beyond just dividend yield. Morningstar selects best European dividend companies based on specialized indices and valuation. European dividend companies outperformed market in July with average yield of 4.7%. Financial sector and automobile companies dominated top gainers and losers lists in July.

Pharma stocks Novartis, Sanofi, Roche, and GSK see dividend increases. Novartis has consistent dividend growth since 1996 with expected yield of 3.5%. Sanofi’s 5.6% dividend increase yields 4.07%. Roche’s 3.45% yield is most undervalued at 27%. GSK pays quarterly dividends, seen as historically high by analysts.

Several European companies announce dividend payments: British American Tobacco, Koninklijke KPN, Reckitt Benckiser, ING, Unilever, Barclays, NatWest, Koninklijke Ahold Delhaize NV, Rio Tinto, GSK, HSBC. Morningstar’s selection methodology for European dividend stocks includes specialized indices and ESG criteria, resulting in a list of 51 top companies.



Read more at Morningstar: The Best European Dividend Stocks for August 2024