In this article, we will take a look at some of the best European dividend stocks.
Dividend investing has been gaining traction among investors not only in the US but across global markets. In Europe, companies have built a reputation for steady payouts, and the region has delivered consistent dividend growth over the years.
A new report from S&P Global Market Intelligence suggests that European dividends, excluding special payments, are expected to rise 3.5% year over year and reach €486.1 billion by the end of 2025. The pace is slower than in 2024, when aggregate payouts climbed 7.5%, but the firm noted that strength in banking, insurance, and capital goods should more than make up for weaker contributions from materials and automotive companies.
When including special dividends, which are rare, one-off payments that are difficult to predict, total payouts are forecast to inch up 1.3% in 2025 to roughly €503.5 billion, compared with a 5.8% increase the year before. With 81% of next year’s dividends already confirmed, S&P said the early trend for 2025 is already largely set.
Looking ahead to 2026, the report estimates that European dividends, excluding special payments, will grow another 3.2% year over year to about €501.6 billion. Insurance and pharmaceuticals are expected to drive that increase, while the automotive sector is likely to continue weighing on overall growth.
Given this, we will take a look at some of the best European dividend stocks.
Image by Nattanan Kanchanaprat from Pixabay
Our Methodology
For this article, we used the Finviz stock screener to filter out European dividend stocks. We focused on picking stocks with a consistent record of paying dividends, offering dividend growth, and being financially stable to steer clear of yield traps. The list below is ranked in ascending order of dividend yield as of November 18.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
12. Aon plc (NYSE:AON)
Dividend Yield as of November 18: 0.85%
Aon plc (NYSE:AON) is among the best dividend stocks to invest in.
UBS analyst Brian Meredith cut the price target on Aon plc (NYSE:AON) to $390 from $400 on November 10 and maintained a Neutral stance on the stock, according to a report by The Fly.
In the third quarter of 2025, Aon plc (NYSE:AON) posted another solid performance, reporting 7% total revenue growth along with 7% organic growth. Management noted that the firm continued to advance its Aon United strategy through the 3×3 Plan to keep up with rising client demand. They also pointed out that large-scale innovation through Aon Business Services was helping them invest for long-term revenue growth while lifting margins at the same time.
Net income attributable to shareholders rose 34% to $2.11 per diluted share, up from $1.57 a year earlier. For the first nine months of 2025, operating cash flow increased by $249 million, reaching $2.1 billion, a 14% improvement from the same period last year. Free cash flow for the period also grew 13% to $1.9 billion, supported by stronger operating cash generation.
Aon plc (NYSE:AON) is a global professional services company offering risk management, insurance, and human capital solutions, headquartered in London.
11. Linde plc (NASDAQ:LIN)
Dividend Yield as of November 18: 1.45%
Linde plc (NASDAQ:LIN) is among the best dividend stocks to invest in.
UBS analyst Joshua Spector upgraded Linde plc (NASDAQ:LIN) to Buy from Neutral on November 11, setting a new price target of $500, down slightly from $507, according to a report by The Fly. He noted that the company’s expected earnings growth acceleration in 2026 could act as a catalyst for the shares. He also described the company as a “defensive growth stock at an attractive risk/reward,” pointing out in his research note that the stock is trading at a 10% discount to its historical average multiple, a level typically seen when investor confidence in growth trends is lower.
In the third quarter of 2025, Linde plc (NASDAQ:LIN) reported $8.6 billion in revenue, a 3% increase from a year earlier. Operating profit reached $2.4 billion, while adjusted operating profit came in at $2.6 billion, also up 3%. Operating cash flow for the quarter rose 8% year over year to $2.9 billion.
In June 2025, Linde plc (NASDAQ:LIN) entered into a long-term agreement to supply industrial gases to a $4 billion low-carbon ammonia project under development in Louisiana. As part of this agreement, the company plans to invest $400 million in a new on-site facility that will work alongside its existing hydrogen and syngas infrastructure in the area.
Linde plc (NASDAQ:LIN) is a global industrial gases and engineering firm that supports a wide range of industries with high-quality gases, specialized mixtures, and related technologies.
Hedge Fund Resource Center