Investing

5 Highest Yielding European Stocks With Massive Upside Potential

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It was nice while it lasted, and it may not be over, but the AI-driven stock market rally may run out of gas fast. While the Magnificent 7 has soared (the group of big tech companies that have driven most of the gains over the last year), the rest of the S&P 500 has flatlined over the last 12 months.

While the current juicy Treasury yields are very tempting, they don’t offer the total return potential that dividend-paying stocks do, and investors with concerns about the staggering U.S. debt and the potential for a government shutdown once again this year becoming genuine issue for the domestic stock market may want to take a look across the pond.

We screened our 24/7 Wall St. European dividend stock research database, looking for top companies that trade on the U.S. markets that can pay investors some dependable passive income. Two companies are extensive dividend energy stocks that could explode higher, while two are cash-flow giant tobacco stocks.

British American Tobacco

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This European giant continues to print money and pays a massive 9.57% dividend. British American Tobacco plc (NYSE: BTI) offers:

  • Vapor
  • Tobacco heating
  • Modern oral nicotine products
  • Combustible cigarettes
  • Traditional oral products, such as snus and moist snuff

The company offers its products under:

  • Vuse
  • Glo
  • Velo
  • Grizzly
  • Kodiak
  • Dunhill
  • Kent
  • Lucky Strike
  • Pall Mall
  • Rothmans
  • Camel
  • Natural American Spirit
  • Newport
  • Vogue
  • Viceroy
  • Kool
  • Peter Stuyvesant
  • Craven A
  • State Express 555
  • Shuang Xi brands

BP

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This company is one of the premier European integrated oil giants and pays shareholders a hefty 4.72 % divided. BP p.l.c. (NYSE: BP) engages in the energy business worldwide. It operates through Gas & Low Carbon Energy, Oil Production & Operations, Customers & Products, and Rosneft segments.

BP produces and trades in:

  • Natural gas
  • Offers biofuels
  • Operates onshore and offshore wind power and solar power generating facilities
  • Provides de-carbonization solutions and services, such as hydrogen, and carbon capture, usage, and storage

The company is also involved in the convenience and mobility business, which:

  • Manages the sale of fuels to wholesale and retail customers
  • Convenience products
  • Aviation fuels
  • Castrol lubricants
  • Refining, supply, and trading of oil products
  • Operation of electric vehicle charging facilities

In addition, it produces and refines oil and gas and invests in upstream, downstream, and alternative energy companies; advanced mobility, bio and low carbon products, carbon management, digital transformation, and power and storage areas.

Philip Morris International
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This company has continued to grow its global market share and pays a fat 5.83% divided. Philip Morris International Inc. (NYSE: PM) is one of the largest international cigarette producers, with a share of 28% of the global cigarette/heated tobacco market. Key combustible brands include Marlboro, Parliament, and L&M, amongst others.

The company is commercializing IQOS, a heat-not-burn product in over 40 markets, which could drive earnings in the future. Most on Wall Street believe Philip Morris International offers superior underlying growth prospects, both near-term and long-term.

The share price has been weak of late as investors have questioned the growth potential of its reduced-risk products. 100% of the sales are outside of the United States.

Sanofi

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This is a top pharmaceutical company in Europe and is paying a solid 4.08% dividend. Sanofi (NYSE: SNY) engages in the research, development, manufacture, and marketing of therapeutic solutions in the United States, Europe, and internationally.

Sanofi operates through three segments:

  • Pharmaceuticals
  • Vaccines
  • Consumer Healthcare

The company provides specialty care products, including:

  • Human monoclonal antibodies
  • Products for multiple sclerosis, neurology, other inflammatory diseases
  • Immunology
  • Rare diseases
  • Oncology
  • Rare blood disorders
  • Medicines for diabetes; and cardiovascular
  • Established prescription products

It also supplies poliomyelitis, pertussis, hib pediatric vaccines, influenza, adult booster, meningitis, and travel and endemic vaccines.

In addition, the company offers allergy, cough, cold, pain, digestive, and nutritional products; and other products, such as daily body lotions, anti-itch products, moisturizing and soothing lotions, and body and foot creams, as well as powders for eczema.

Sanofi also has various pharmaceutical products and vaccines in the development stage.

TotalEnergies

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This French integrated giant is another excellent way to play the energy sector from the European side and sports a hefty 5.02% dividend. TotalEnergies SE (NYSE: TTE) is an integrated oil and gas company worldwide.

The company operates through four segments:

  • Exploration & Production
  • Integrated Gas Renewables & Power
  • Refining & Chemicals
  • Marketing & Services

The company’s Exploration & Production segment involves oil and natural gas exploration and production activities in approximately 50 countries.

Its Integrated Gas, Renewables & Power segment engages in:

  • Liquefied natural gas (LNG) production
  • Shipping, trading, and regasification activities
  • Trading of liquefied petroleum gas (LPG), petcoke and sulfur, natural gas, and electricity;
  • Transportation of natural gas
  • Electricity production from natural gas, wind, solar, hydroelectric, and biogas sources
  • Energy storage activities
  • Development and operation of biomethane production units, as well as provides energy efficiency services.

TotalEnergies Refining & Chemicals segment is involved in refining petrochemicals, including olefins and aromatics, and polymer derivatives, such as polyethylene, polypropylene, polystyrene, and hydrocarbon resins, as well as biomass conversion and elastomer processing.

This segment also engages in trading and shipping crude oil and petroleum products.

Its Marketing & Services segment produces and sells lubricants; supplies and markets petroleum products, including bulk fuel, aviation and marine fuel, special fluids, compressed natural gas, LPG, and bitumen; and fuel payment solutions.

Total Energies also operates approximately 15,500 service stations.

 

 

 

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