Middle Eastern Dividend Stocks To Watch In 2023

Yahoo

4 hours ago

The Middle Eastern stock markets have shown resilience, with most Gulf bourses ending higher despite geopolitical tensions involving U.S. strikes on Iran, as investors seem to have already factored in potential conflicts and are focusing on regional economic stability supported by robust oil flows and sovereign wealth funds. In this environment, dividend stocks can be appealing for income-focused investors seeking stable returns amidst market volatility, as they often represent companies with strong cash flows and solid financial foundations.
Name
Dividend Yield
Dividend Rating
Turkiye Garanti Bankasi (IBSE:GARAN)
3.81%
★★★★★☆
Saudi National Bank (SASE:1180)
5.93%
★★★★★☆
Saudi Awwal Bank (SASE:1060)
6.40%
★★★★★☆
Riyad Bank (SASE:1010)
6.68%
★★★★★☆
National Bank of Ras Al-Khaimah (P.S.C.) (ADX:RAKBANK)
7.56%
★★★★★☆
Emirates NBD Bank PJSC (DFM:EMIRATESNBD)
4.73%
★★★★★☆
Emaar Properties PJSC (DFM:EMAAR)
8.06%
★★★★★☆
Commercial Bank of Dubai PSC (DFM:CBD)
5.97%
★★★★★☆
Arab National Bank (SASE:1080)
6.31%
★★★★★☆
Anadolu Hayat Emeklilik Anonim Sirketi (IBSE:ANHYT)
7.94%
★★★★★☆
Click here to see the full list of 75 stocks from our Top Middle Eastern Dividend Stocks screener.
Underneath we present a selection of stocks filtered out by our screen.
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Gulf Medical Projects Company (PJSC) operates hospitals in the United Arab Emirates and has a market cap of AED1.45 billion.
Operations: Gulf Medical Projects Company (PJSC) generates revenue from segments including Investments, contributing AED37.79 million, and Health Services & Others, which accounts for AED690.34 million.
Dividend Yield: 7.2%
Gulf Medical Projects Company (PJSC) offers a dividend yield of 7.21%, placing it in the top 25% of dividend payers in the AE market. However, its dividends are not well covered by earnings, with a high payout ratio of 125.5%, and have been unreliable over the past decade due to volatility and lack of growth consistency. Despite recent earnings growth, dividends remain inadequately supported by earnings, though they are covered by cash flows with a reasonable cash payout ratio of 73.1%.
Navigate through the intricacies of Gulf Medical Projects Company (PJSC) with our comprehensive dividend report here.
The valuation report we've compiled suggests that Gulf Medical Projects Company (PJSC)'s current price could be quite moderate.
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Fourth Milling Company operates in the Kingdom of Saudi Arabia, focusing on the production, packaging, and sale of flour and its byproducts, animal feed, and bran products with a market cap of SAR1.89 billion.
Operations: The company's revenue is primarily derived from its Food Processing segment, which generated SAR633.61 million.
Dividend Yield: 6.2%
Fourth Milling Company offers a dividend yield in the top 25% of Saudi Arabian payers, supported by a sustainable payout ratio of 67.9%, and cash flow coverage at 49.9%. Recent earnings growth and strategic investments, like the SAR 265 million expansion in Al-Kharj city, signal potential for future revenue increases. The company recently appointed KPMG as auditors ensuring financial transparency but has limited dividend history to assess long-term reliability or growth trends.
Dive into the specifics of Fourth Milling here with our thorough dividend report.
Our comprehensive valuation report raises the possibility that Fourth Milling is priced lower than what may be justified by its financials.
Simply Wall St Dividend Rating: ★★★★☆☆
Overview: Mizrahi Tefahot Bank Ltd., along with its subsidiaries, offers a variety of international, commercial, domestic, and personal banking services to individuals and businesses both in Israel and abroad, with a market cap of ₪55 billion.
Operations: Mizrahi Tefahot Bank Ltd. generates revenue through its diverse range of banking services, catering to both individual and business clients within Israel and on an international scale.
Dividend Yield: 4%
Mizrahi Tefahot Bank's dividends are well covered by earnings, with a current payout ratio of 40% and forecasted to remain sustainable at 45.6% in three years. Despite a dividend yield of 3.98%, which is below the top tier in Israel, the bank's recent earnings growth of 13.7% supports its payout capacity. However, past dividend payments have been volatile and unreliable over the last decade, raising concerns about long-term consistency for investors seeking stable income streams.
Click to explore a detailed breakdown of our findings in Mizrahi Tefahot Bank's dividend report.
Insights from our recent valuation report point to the potential overvaluation of Mizrahi Tefahot Bank shares in the market.
Navigate through the entire inventory of 75 Top Middle Eastern Dividend Stocks here.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Companies discussed in this article include ADX:GMPC SASE:2286 and TASE:MZTF.
This article was originally published by Simply Wall St.
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