European dividend stocks offers offer higher yields than their US peers. Investors looking to diversify and add dividend stocks from Europe should consider some of the high-quality names in the continent.
From an July article Peter Garnry at Saxo Bank:
In a negative rate environment, a high-dividend yield portfolio is a good component of a long-term asset allocation.Below, we have listed the highest dividend yield stocks (adjusted for quality) across 35 industries in Europe. The group has an average 12-month forward dividend yield of 5% and an average price-to-book ratio of 5.8, which on the dividend yield is around 25% higher than the current forward dividend yield in the Euro Stoxx 600 index.Click to enlargeWe have selected the highest dividend paying stocks in each of the 35 largest European industries, but the stock has to be in the upper-half in terms of price-to-book ratio in its industry.
Note: The data shown above is as of July this year.
I have mentioned Sweden-based Nordea Bank (NRBAY) in my earlier articles as a good bank stock to consider for exposure to European banking.
Source: Hunting for yields in a negative rate world, Saxo Bank
Disclosure: No Positions
