Top KRX Dividend Stocks Featuring SeAH Besteel Holdings And Two Others

The South Korean market has shown positive momentum, with a 2.9% increase over the last week and a 4.4% rise over the past year, while earnings are projected to grow by 28% annually. In this favorable environment, identifying strong dividend stocks like SeAH Besteel Holdings can be key for investors seeking reliable income and potential growth.

Top 10 Dividend Stocks In South Korea

Click here to see the full list of 72 stocks from our Top KRX Dividend Stocks screener.

Let’s take a closer look at a couple of our picks from the screened companies.

SeAH Besteel Holdings (KOSE:A001430)

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

Overview: SeAH Besteel Holdings Corporation manufactures and sells special steel, heavy forgings, auto parts, and axles in South Korea with a market cap of ₩702.54 billion.

Operations: SeAH Besteel Holdings Corporation generates revenue primarily from its Special Steel segment, which accounts for ₩4.21 billion, and its Aluminum Extrusion Division, contributing ₩90.87 million.

Dividend Yield: 6.1%

SeAH Besteel Holdings offers a dividend yield of 6.13%, placing it in the top 25% of dividend payers in South Korea. Despite this, its dividend track record is unstable with payments being volatile over the past six years. However, dividends are well covered by both earnings (49.4% payout ratio) and cash flows (29.9% cash payout ratio). The stock is currently trading at 6.5% below its estimated fair value, with analysts forecasting a price rise of 50.3%.

• Unlock comprehensive insights into our analysis of SeAH Besteel Holdings stock in this dividend report.
• Insights from our recent valuation report point to the potential undervaluation of SeAH Besteel Holdings shares in the market.

LOTTE Fine Chemical (KOSE:A004000)

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

Overview: LOTTE Fine Chemical Co., Ltd. manufactures and sells chemical products in Korea, with a market cap of ₩1.20 trillion.

Operations: LOTTE Fine Chemical Co., Ltd. generates revenue from the manufacture and sale of chemical products in Korea.

Dividend Yield: 4.3%

LOTTE Fine Chemical’s dividend yield of 4.25% ranks in the top 25% of South Korean dividend payers. However, its dividend history is unreliable and volatile over the past decade. The company’s recent earnings report shows a significant turnaround with KRW 43.27 billion net income for Q2 2024, compared to a net loss last year. Despite this improvement, dividends are not well covered by free cash flows due to a high cash payout ratio of 138.6%.

• Get an in-depth perspective on LOTTE Fine Chemical’s performance by reading our dividend report here.
• Our comprehensive valuation report raises the possibility that LOTTE Fine Chemical is priced lower than what may be justified by its financials.

Hana Financial Group (KOSE:A086790)

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

Overview: Hana Financial Group Inc., with a market cap of ₩18.59 trillion, operates through its subsidiaries to provide financial services in South Korea.

Operations: Hana Financial Group Inc. generates revenue from various financial services provided through its subsidiaries in South Korea.

Dividend Yield: 9.8%

Hana Financial Group’s dividend yield is among the top 25% in South Korea at 9.77%, supported by a low payout ratio of 29.3%. Despite this, its dividend history over the past seven years has been unreliable and volatile. Recent earnings reported net income of KRW 1.03 billion for Q2 2024, up from KRW 918.70 million a year ago, indicating solid financial performance which may support future dividends despite historical volatility.

• Dive into the specifics of Hana Financial Group here with our thorough dividend report.
• In light of our recent valuation report, it seems possible that Hana Financial Group is trading behind its estimated value.

Where To Now?

• Click here to access our complete index of 72 Top KRX Dividend Stocks.
• Have you diversified into these companies? Leverage the power of Simply Wall St’s portfolio to keep a close eye on market movements affecting your investments.
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Seeking Other Investments?

• Explore high-performing small cap companies that haven’t yet garnered significant analyst attention.
• Fuel your portfolio with companies showing strong growth potential, backed by optimistic outlooks both from analysts and management.
• Find companies with promising cash flow potential yet trading below their fair value.

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.

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