Dividend stocks with healthy balance sheets and high yields can provide investors with stable income, cushion market downturns, and help their investments grow steadily.
Companies that paid the highest dividends in the first quarter of 2024 included Italian heavy equipment company Iveco Group (IVG), Italian insurance company Unipol Gruppo (UNI), and Italian engineering and construction company Maire Tecnimont (MAIRE). ), etc. were included.
To find the 10 best-performing income stocks of the quarter, we looked at the Morningstar Eurozone Index, which measures the performance of the eurozone's broad regional market and includes the top 97% of stocks by market capitalization, in the future. We screened companies with a dividend yield of 20 million yen or more. 1.5% or more, excluding real estate investment trusts.
Best performing Eurozone dividend stocks in Q1 2024
1. Iveco Group (IVG)
2. Unipol Group (UNI)
3. MAIRE
4. Rubis (RUI)
5. BPER Banca (BPE)
6. UniCredit (UCG)
7. Sarantis Group (SAR)
8. Daimler Trucks (DTG)
9. Laboratorios Farmaceuticos Rovi (ROVI)
10. Bank of Bilbao Vizcaya Argentaria (BBVA)
How are dividend stocks performing?
The Morningstar Eurozone Dividend Yield Focus Index, which tracks the performance of high-quality dividend stocks listed in Europe, is up 2.5% in the past month and 7.1% over the past year.
The overall euro area stock market, as measured by the Morningstar Eurozone Index, rose 9.9% for the quarter and 17.2% for the year.
Yields and metrics for the best-performing dividend stocks in Q1
iveco group
Italian heavy equipment company Iveco rose 69.4% in the first quarter and 58.2% over the past 12 months. Trading at 13.80 euros per share, the company's stock has a forward dividend yield of 1.59%. The stock, which has no economic moat, currently trades at a 13% discount to its quantitative fair value estimate of €15.81 per share and has a 4-star Morningstar quantitative rating. .
unipole group
Italian insurer Unipol rose 50.4% in the first quarter and 71.6% over the past 12 months. At €7.77 per share, the company's stock has a forward dividend yield of 4.76%, or an annual dividend of €0.37 per share. The stock, which has no economic moat, trades close to its quantitative fair value estimate of €9.27 per share. He has a 3-star rating from Morningstar Quantitative Ratings.
maile technimont
Italian engineering and construction company Maile Tecnimont rose 48% in the first quarter and 86.7% over the past 12 months. The stock price is 7.26 euros and the future dividend yield is 2.71%. Maire Tecnimont pays investors an annual dividend of 0.12 euros per his share. With a quantitative fair value estimate of €5.96 per share, the stock is moderately overvalued and trades at a 22% premium due to its lack of an economic moat.
Rubis
French oil and gas company Rubis rose 45.5% in the first quarter and 40.5% over the past 12 months. Rubis stock is trading at 32.74 euros per share, with a forward dividend yield of 5.86% and an annual dividend of 1.92 euros per share. The stock, which has no economic moat, trades close to its quantitative fair value estimate of €36.33 per share. He has a 3-star rating from Morningstar Quantitative Ratings.
BPER Banca
Italian bank BPER Banca rose 44.7% in the first quarter and 98% in the past 12 months. It trades at €4.38 per share and has a forward dividend yield of 6.85%. BPER Banca pays investors 0.12 euros per year per his share. The stock, which has no economic moat, trades close to its quantitative fair value estimate of €5.13 per share. He has a 3-star rating from Morningstar Quantitative Ratings.
unicredit
Italian bank UniCredit rose 43.2% in the first quarter and 107.7% over the past 12 months. The UniCredit stock price is 35.17 euros per share, with a forward dividend yield of 5.13% and an annual dividend of 0.99 euros per share. The stock, which has no economic moat, trades close to its fair value estimate of €36.33 per share. It has a 3-star Morningstar rating.
sarantis group
Greek household and personal products company Sarantis rose 40.1% in the first quarter and 74.1% over the past 12 months. Sarantis stock is trading at 11.74 euros per share, with a forward dividend yield of 1.91% and an annual dividend of 0.15 euros per share. The stock, which has no economic moat, trades close to its quantitative fair value estimate of €11.44 per share. He has a 3-star rating from Morningstar Quantitative Ratings.
daimler truck
German heavy equipment company Daimler Trucks rose 37.2% in the first quarter and 54.9% over the past 12 months. Daimler Trucks shares are trading at 46.79 euros per share, with a forward dividend yield of 4.06%, and investors will receive an annual dividend of 1.30 euros per share. The stock, which has no economic moat, currently trades close to its quantitative fair value estimate of €45.37 per share and has a Morningstar Quantitative Rating of 3 stars.
Laboratorios Pharmaceuticos Rovi
Spanish biotech company Laboratorios Pharmaceuticos Rovi rose 34.4% in the first quarter and is up 113.6% over the past 12 months. The stock price is 80.90 euros and the future dividend yield is 1.6%. Laboratorios Farmaceuticos Rovi pays investors an annual dividend of 1.29 euros per his share. With a quantitative fair value estimate of €66.04 per share, the stock is significantly overvalued and trades at a 22% premium due to its narrow economic moat. Morningstar Quantitative Rating is 1 star.
Bank of Bilbao Vizcaya Argentaria (BBVA)
Spanish bank BBVA rose 34.2% in the first quarter and 75.2% over the past 12 months. BBVA's share price is 11.04 euros, with a forward dividend yield of 4.98% and an annual dividend of 0.47 euros per share. The stock, which has a narrow economic moat, trades close to its fair value estimate of €11.51 per share. It has a 3-star Morningstar rating.
What is the Morningstar Eurozone Index?
The Morningstar Eurozone Index measures the performance of the broad regional market in the Eurozone, covering 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, high-yielding securities.
It is part of the Morningstar Eurozone Index (representing 97% of stock market capitalization), which includes only stocks that pay dividends. Stocks are reviewed for their economic moat and financial strength relative to other stocks within their sector. Excludes real estate investment trusts.
From there, the 25 highest-yielding stocks are included in the index, weighted by the dollar value of their dividends. See the complete rulebook here.
Best Dividend Stock Leaders: More Ideas to Consider
Investors who want to find and further investigate higher-performing or lower-dividend stocks can:
• See the complete list of dividend stocks included in the Morningstar Eurozone Dividend Yield Focus Index. Dividend stocks with Morningstar ratings of 4 and 5 stars are undervalued, according to our metrics.
• Read our monthly analysis of the latest dividend trends for the top dividend companies in the FTSE 100.
• Use the Morningstar Screener tool to find the best dividend stocks according to your specific criteria. You can search for stocks based on evaluation criteria such as dividend yield, stock price, and earnings.
• Use Morningstar Portfolio Manager to create a watchlist of the highest dividend stocks and an easy-to-track view of the valuations, ratings, and dividend yields of the stocks on your list.
Dividends aren't the only important thing when buying stocks. Read here to learn how valuation and competitive advantage (known as economic moat) matter when it comes to a stock's chances of outperforming.
Companies that are not formally covered by a Morningstar analyst have quantitative ratings. These companies are statistically matched to analyst-rated companies, allowing our models to calculate quantitative moat, fair value, and uncertainty ratings.
This article was edited by Bella Albrecht, edited by Lauren Solberg, and reviewed by Sunniva Kolostyak.
As part of our mission to put more information in the hands of investors, this article was compiled from independent research using Morningstar data and automation technology. The original article was written by Morningstar reporters and editors. This updated version has been reviewed by our editors.
