From Morningstar:

Corporate Europe is in the midst of annual dividend declarations for 2023, and with income as the top priority, Morningstar has identified 83 euro-denominated stocks with potential for higher yields in the new year. A rating of 4- or 5-stars shows these stocks are trading at a discount to fair value.

With banks featuring heavily, the ratings take into account dividend forecasts and a minimum year-on-year growth of 20%. Highly-rated undervalued dividend-growing stocks include Continental AG (CON) and Ageas (AGS).

Offering insights on the market, analysts believe that Proximus (PROX) and Banco Santander (SAN) are positioned for a positive outlook, while Unibail-Rodamco-Westfield (URW) faces challenges due to its large debt load. ABN AMRO Bank (ABN) and ING Groep (INGA) remain attractive, while Telefonica (TEF) has divested its Latin American operations.

Each stock has specific factors that affect its position, and the forward dividend yields range from 2.7% to 13.3% for the selected stocks. Morningstar’s full takes on each stock provide comprehensive insights into their positions in the market.



Read more: 10 Undervalued European Stocks Set to Increase…