Dividend investing blog3 dividend stocks from the Netherlands to watch

3 dividend stocks from the Netherlands to watch

Stock mentioned in this article
Ticker
Sector
Div. yield
Annual dividend
Price
Consumer Defensive
2.93%
0,8600 €
28,31 €
Communication Services
4.79%
0,0900 €
2,76 €
Health Care
2.13%
0,8500 €
40,00 €

The Netherlands is not just a beautiful country full of bikes and flowers but a strong European economic center and home of the oldest stock exchange in the world. Dividend.watch integrated Amsterdam Euronext stock exchange. Dividend.watch integrated Amsterdam Euronext stock exchange. It is now possible to do calculations with all 170 stocks listed on AS exchange in our dividend calculator or add them to our portfolio tracker.

Koninklijke Ahold Delhaize N.V
2.93% dividend yield
28,31 € per share
Ticker AD:AS

Well-known food retailer which currently operates more than 7000 stores across European Union and the United States serving around 50 million customers. It belongs to the top five European food retailers. While not being the biggest the company brings a lot of innovation and strong connections to local brands and quality food.

Recently Ahold announced a big €1 billion share buyback program which signals company confidence. When comparing 1-year return (13.82%) and 5-year return (35%) it beats European rivals like Tesco or Sainsbury. In the short 1-year term it also beating some US-based retailers like Walmart. It provides a generous dividend of 2.93%. The company's long-term goal is to keep about 40-50% payout ratio. P/E ratio is just 26 in comparison with the industry average of 64 meaning Ahold is interesting dividend stock.

The company is also on the right track when comes to online sales with growth of over 100% in the United States and 60% growth in Europe.

Koninklijke KPN N.V
4.79% dividend yield
2,76 € per share
Ticker KPN:AS

Recognized as the best mobile network and provider of the fastest 5G signal in the Netherlands is currently valued on a very small P/E ratio compared to the European industry average. 3-year dividend growth is quite small, just around 4% but the company has a healthy payout ratio of around 50% which is impressive with the current dividend yield is reaching 5%. This performance may be sustainable but there probably won’t be any big surprises and or big growth.

The key objectives of the company are to accelerate the rollout of our next-generation fiber network to cover the majority of households and businesses in the Netherlands and simplify their services to better combine fiber, 5G and other phone plans into one package.

5G rollout is big part of KPN strategy

Koninklijke Philips N.V
2.13% dividend yield
40,00 € per share
Ticker PHIA:AS

Koninklijke Philips N.V. usually known only as Philips operates as a health technology company. While most people know Philips products just as personal care products such as high-quality electric toothbrushes or shavers it is primarily a health technology company that focuses on Diagnosis & Treatment and Connected Care segments.

Health technology is a large market, which is expected to grow by around 4% each year because of the natural drivers of growth – aging populations and increased spending on healthcare in emerging markets.

The company dividend yield is currently around 2.1% and there is just slow dividend growth of 1% past three years. The company performance can be seen more from capital gains perspective than dividend yield itself. The company promised to keep current dividend levels while keeping the payout ratio under 60%. The reason for slow dividend growth is mainly because of massive investments into the professional diagnosis & treatment segment.