In today’s article, we have identified two German companies, Allianz SE (DE:ALV) and Bayerische Motoren Werke AG (DE:BMW), that are offering dividend yields above 5%. These companies consistently deliver impressive dividends to their investors and are also recognized for maintaining robust operational performance. Investors focusing on income can consider adding these stocks to their portfolios to enhance their earnings.
When it comes to capital appreciation, analysts have assigned a Moderate Buy rating to Allianz, expecting a share price growth of around 15%. Meanwhile, BMW stock has a Hold rating, projecting an uptick of 13%.
TipRanks offers a comprehensive set of tools to aid users in identifying suitable dividend stocks that align with their preferences. For this analysis, we’ve used the Best German Dividend Stocks tool, which presents a list of dividend-paying companies in a particular market along with additional parameters.
Let’s take a look at the two stocks in detail.
Allianz SE Dividend History
Headquartered in Germany, Allianz is a globally recognized insurance company with a presence in over 70 countries. The company offers a wide range of insurance and asset management solutions to address diverse needs.
Allianz stands out as one of the highest-dividend companies listed on the DAX. Thanks to robust business growth and an appealing dividend policy, the company has consistently increased its dividend by an average of 10% over the last decade. The regular payout remains at 50% of the Group’s net income attributable to shareholders. In line with its dividend policy, the additional objective is to pay a dividend per share at least 5% higher than the previous year’s payment.
After achieving a record operating profit in 2022, the company increased its dividend to €11.4 per share in 2022, as compared to €10.8 paid in 2021. The dividend is expected to reach at least €12.00 in fiscal year 2023 and €12.60 in fiscal year 2024. Allianz boasts a dividend yield of 5.12%, surpassing the sector’s average of 2.1%.
What is the Price Target for Allianz?
According to TipRanks, ALV stock has received a Moderate Buy rating backed by a total of 11 ratings, of which eight are Buy. The Allianz share price forecast is €251.51, which is 14.5% higher than the current trading levels.
BMW Dividends 2023
Bayerische Motoren Werke AG (BMW) is a premier car manufacturer globally recognized for its luxury vehicles. The company owns renowned brands such as BMW, MINI, Rolls-Royce, and BMW Motorrad within its diverse portfolio.
In May 2023, the company disbursed a dividend of €8.5 per share, a notable increase from the €5.8 per share paid in the preceding year. The robust dividend underscores the financial resilience of the company, showcasing its ability to distribute dividends while concurrently making substantial investments in its transformation to EVs. This contributes to the current dividend yield of 8.58%, contrasting with the industry’s typical average of 1.64%.
BMW Share Price Target
BMW stock has a Hold rating on TipRanks based on a total of 15 recommendations. It includes three Buy, nine Hold, and three Sell recommendations. The BMW share price prediction is €107.5, which is 13% higher than the current level.
