Step 1: Recall Delta to Wye conversion formula.
In a Delta ($\Delta$) connected circuit, if each branch has impedance $Z_{\Delta}$, then the equivalent Wye (Y) impedance $Z_Y$ is given by:
\[
Z_Y = \frac{Z_{\Delta}}{3}
\]
Step 2: Substitute the given value.
It is given that each branch of the Delta circuit has impedance:
\[
Z_{\Delta} = \sqrt{3}\,Z
\]
Substituting into the formula:
\[
Z_Y = \frac{\sqrt{3}\,Z}{3}
\]
Step 3: Simplify the expression.
\[
Z_Y = \frac{Z}{\sqrt{3}}
\]
Step 4: Match with the given options.
The obtained result matches option (A).
Step 5: Final conclusion.
Hence, each branch of the equivalent Wye circuit has impedance $\dfrac{Z}{\sqrt{3}}$.