Arkema and two other high-yielding dividend stocks to consider

As the French market goes through a period of recovery, with the CAC 40 index having recently seen a decline amid mixed uncertainties over corporate profits and interest rates, investors are closely watching potential opportunities. In this context, high dividend stocks like Arkema represent an interesting consideration for those looking to potentially improve their portfolio stability and income in fluctuating markets.

Top 10 dividend stocks in France

Name	Dividend yield	Dividend rating
Ruby (ENXTPA:RUI)	6.10%	★★★★★★
Samse (ENXTPA:SAMS)	8.89%	★★★★★★
CBo Territories (ENXTPA:CBOT)	6.50%	★★★★★★
Metropole Television (ENXTPA:MMT)	9.53%	★★★★★☆
Teleperformance (ENXTPA:TEP)	3.87%	★★★★★☆
Sanofi (ENXTPA:SAN)	4.09%	★★★★★☆
Carrefour (ENXTPA:CA)	5.49%	★★★★★☆
Jacquet Metals (ENXTPA:JCQ)	5.34%	★★★★★☆
Arkema (ENXTPA:AKE)	3.44%	★★★★★☆
Desjoyaux Swimming Pools (ENXTPA:ALPDX)	7.43%	★★★★★☆

Click here to see the full list of 28 stocks in our pick of the highest dividend stocks.

Let’s explore several noteworthy options from the filter results.

Simply Wall St Dividend Rating: ★★★★★☆

Preview: Arkema SA is a global manufacturer and seller of specialty chemicals and advanced materials, with a market capitalization of approximately €7.61 billion.

Operations: Arkema SA’s revenue is mainly generated by four segments: Adhesive Solutions (2.71 billion euros), Advanced Materials (3.56 billion euros), Coatings Solutions (2.40 billion euros). euros) and Intermediaries (0.80 billion euros).

Dividend yield: 3.4%

Arkema SA recorded lower revenue in the first quarter of 2024 at 2.34 billion euros and net profit at 79 million euros, reflecting a decline compared to the previous year’s figures. Despite this slowdown, Arkema maintains a stable dividend yield of 3.44%, supported by a reasonable payout rate of 65% and a cash payout rate of 41%. The company recently finalized a €400 million bond offering, strengthening its financial flexibility. However, its current dividend yield is lower than the top quartile of French dividend payers at 5.25%.

Simply Wall St Dividend Rating: ★★★★☆☆

Preview: Vinci SA operates in the concessions, energy and construction sectors in France and internationally, with a market capitalization of approximately €64.18 billion.

Operations: Vinci SA generates its turnover through several key segments: VINCI Construction, including Eurovia, contributes €31.46 billion; VINCI Energies adds 19.33 billion euros; Concessions – VINCI Autoroutes brings in 6.88 billion euros; Concessions – VINCI Airports represents 4.23 billion euros; Cobra IS provides 6.50 billion euros; and Other Concessions and VINCI Immobilier and Holdings contribute respectively 0.73 billion euros and 1.23 billion euros.

Dividend yield: 4%

Vinci’s recent €53 million contracts in the United States for toll services and its strategic initiatives, such as the acquisition of Northwest Parkway, highlight the expansion of its operational footprint. Despite a difficult tax environment with an imminent levy of 280 million euros impacting long-distance transport operators, Vinci plans to maintain net profit levels close to 2023. However, its dividend yield, at 4%, is in decline compared to the first French quartile. The dividend’s sustainability is supported by a reasonable payout ratio of 54.4% and a cash payout ratio of 35.6%, but its historical volatility could worry conservative investors looking for stable returns.

Simply Wall St Dividend Rating: ★★★★☆☆

Preview: Eiffage SA operates in different sectors such as construction, real estate and urban development, civil engineering, metal construction, roads, energy systems and concessions in France and internationally, with a market capitalization of ‘around 9.64 billion euros.

Operations: Eiffage SA’s turnover comes mainly from the Infrastructure sector with 8.43 billion euros, followed by Energy Systems with 5.99 billion euros, Construction with 4.29 billion euros and Concessions for 3.90 billion euros.

Dividend yield: 4%

Eiffage SA recorded a notable increase in its turnover to 22.37 billion euros and its net profit to 1.01 billion euros for 2023, reflecting annual profit growth of 11.8% over the last five years. Despite a low dividend yield of 4%, below the first quartile in France, dividends are well supported by a payout rate of 38.5% and cash flow with a cash payout rate of 15.6%. However, its dividend history has been inconsistent, showing volatility over the past decade.

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This Simply Wall St article is general in nature. We provide commentary based on historical data and analyst forecasts only using unbiased methodology and our articles are not intended to constitute financial advice. It does not constitute a recommendation to buy or sell shares and does not take into account your objectives or your financial situation. Our goal is to provide you with targeted, long-term analysis based on fundamental data. Note that our analysis may not take into account the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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