Latest news with #dividendyield
Yahoo
3 days ago
- Business
- Yahoo
Supply Network (ASX:SNL) Will Pay A Larger Dividend Than Last Year At A$0.38
Supply Network Limited (ASX:SNL) will increase its dividend on the 2nd of October to A$0.38, which is 15% higher than last year's payment from the same period of A$0.33. This takes the annual payment to 1.7% of the current stock price, which unfortunately is below what the industry is paying. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Supply Network's Future Dividend Projections Appear Well Covered By Earnings If it is predictable over a long period, even low dividend yields can be attractive. Prior to this announcement, Supply Network's dividend was making up a very large proportion of earnings and perhaps more concerning was that it was 114% of cash flows. Paying out such a high proportion of cash flows can expose the business to needing to cut the dividend if the business runs into some challenges. The next year is set to see EPS grow by 61.4%. If the dividend continues on this path, the payout ratio could be 61% by next year, which we think can be pretty sustainable going forward. View our latest analysis for Supply Network Dividend Volatility The company's dividend history has been marked by instability, with at least one cut in the last 10 years. The annual payment during the last 10 years was A$0.09 in 2015, and the most recent fiscal year payment was A$0.65. This means that it has been growing its distributions at 22% per annum over that time. Despite the rapid growth in the dividend over the past number of years, we have seen the payments go down the past as well, so that makes us cautious. The Dividend Looks Likely To Grow Growing earnings per share could be a mitigating factor when considering the past fluctuations in the dividend. We are encouraged to see that Supply Network has grown earnings per share at 32% per year over the past five years. Fast growing earnings are great, but this can rarely be sustained without some reinvestment into the business, which Supply Network hasn't been doing. Our Thoughts On Supply Network's Dividend Overall, this is probably not a great income stock, even though the dividend is being raised at the moment. With cash flows lacking, it is difficult to see how the company can sustain a dividend payment. This company is not in the top tier of income providing stocks. Companies possessing a stable dividend policy will likely enjoy greater investor interest than those suffering from a more inconsistent approach. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. Taking the debate a bit further, we've identified 1 warning sign for Supply Network that investors need to be conscious of moving forward. Is Supply Network not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Inicia sesión para acceder a tu portafolio
Yahoo
3 days ago
- Business
- Yahoo
Supply Network (ASX:SNL) Will Pay A Larger Dividend Than Last Year At A$0.38
Supply Network Limited (ASX:SNL) will increase its dividend on the 2nd of October to A$0.38, which is 15% higher than last year's payment from the same period of A$0.33. This takes the annual payment to 1.7% of the current stock price, which unfortunately is below what the industry is paying. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Supply Network's Future Dividend Projections Appear Well Covered By Earnings If it is predictable over a long period, even low dividend yields can be attractive. Prior to this announcement, Supply Network's dividend was making up a very large proportion of earnings and perhaps more concerning was that it was 114% of cash flows. Paying out such a high proportion of cash flows can expose the business to needing to cut the dividend if the business runs into some challenges. The next year is set to see EPS grow by 61.4%. If the dividend continues on this path, the payout ratio could be 61% by next year, which we think can be pretty sustainable going forward. View our latest analysis for Supply Network Dividend Volatility The company's dividend history has been marked by instability, with at least one cut in the last 10 years. The annual payment during the last 10 years was A$0.09 in 2015, and the most recent fiscal year payment was A$0.65. This means that it has been growing its distributions at 22% per annum over that time. Despite the rapid growth in the dividend over the past number of years, we have seen the payments go down the past as well, so that makes us cautious. The Dividend Looks Likely To Grow Growing earnings per share could be a mitigating factor when considering the past fluctuations in the dividend. We are encouraged to see that Supply Network has grown earnings per share at 32% per year over the past five years. Fast growing earnings are great, but this can rarely be sustained without some reinvestment into the business, which Supply Network hasn't been doing. Our Thoughts On Supply Network's Dividend Overall, this is probably not a great income stock, even though the dividend is being raised at the moment. With cash flows lacking, it is difficult to see how the company can sustain a dividend payment. This company is not in the top tier of income providing stocks. Companies possessing a stable dividend policy will likely enjoy greater investor interest than those suffering from a more inconsistent approach. Meanwhile, despite the importance of dividend payments, they are not the only factors our readers should know when assessing a company. Taking the debate a bit further, we've identified 1 warning sign for Supply Network that investors need to be conscious of moving forward. Is Supply Network not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Several Insiders Invested In Firetail Resources Flagging Positive News
Generally, when a single insider buys stock, it is usually not a big deal. However, when several insiders are buying, like in the case of Firetail Resources Limited (ASX:FTL), it sends a favourable message to the company's shareholders. Although we don't think shareholders should simply follow insider transactions, we would consider it foolish to ignore insider transactions altogether. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. Firetail Resources Insider Transactions Over The Last Year The insider Brett Grosvenor made the biggest insider purchase in the last 12 months. That single transaction was for AU$80k worth of shares at a price of AU$0.04 each. We do like to see buying, but this purchase was made at well below the current price of AU$0.092. Because it occurred at a lower valuation, it doesn't tell us much about whether insiders might find today's price attractive. While Firetail Resources insiders bought shares during the last year, they didn't sell. They paid about AU$0.048 on average. It is certainly positive to see that insiders have invested their own money in the company. However, you should keep in mind that they bought when the share price was meaningfully below today's levels. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below! Check out our latest analysis for Firetail Resources Firetail Resources is not the only stock insiders are buying. So take a peek at this free list of under-the-radar companies with insider buying. Insider Ownership Another way to test the alignment between the leaders of a company and other shareholders is to look at how many shares they own. A high insider ownership often makes company leadership more mindful of shareholder interests. From our data, it seems that Firetail Resources insiders own 8.4% of the company, worth about AU$2.9m. However, it's possible that insiders might have an indirect interest through a more complex structure. Overall, this level of ownership isn't that impressive, but it's certainly better than nothing! So What Does This Data Suggest About Firetail Resources Insiders? It doesn't really mean much that no insider has traded Firetail Resources shares in the last quarter. However, our analysis of transactions over the last year is heartening. We'd like to see bigger individual holdings. However, we don't see anything to make us think Firetail Resources insiders are doubting the company. So these insider transactions can help us build a thesis about the stock, but it's also worthwhile knowing the risks facing this company. For example, Firetail Resources has 4 warning signs (and 2 which are a bit unpleasant) we think you should know about. If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt. For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Automotive
- Yahoo
Investors could get a second chance at this top passive income stock
Shares in Admiral (LSE:ADM) are up 92% in the last three years. There's still a 4.35% dividend yield for income investors who buy now, but I think those who wait might get a chance to buy a world-class FTSE 100 company at a really great price. In my view, this is a stock that all investors should have on their watchlists. There's a lot to like about the business and attractive buying opportunities do present themselves from time to time. Car insurance One of the nice things about car insurance from an investment perspective is that everybody that drives a car needs it. That means there's a durable market for the product. The trouble is, there are a lot of companies in that market. And buyers don't usually care that much about brands or company loyalty – they just want whichever cover is cheapest. If insurers get their pricing wrong, though, they end up paying out more in claims than they take in as premiums and making a loss as a result. That's where Admiral comes to the fore. The firm consistently has one of the best combined ratios – a measure of underwriting profitability – of any UK car insurer. And unlike the things it pays out on, that's not an accident. It comes from Admiral having a technological edge. Its telematics data provides it with better information about drivers and this allows it to assess risk more accurately than its rivals. I don't see a meaningful threat to this on the horizon, so what investors have is a business with a competitive advantage in a non-discretionary industry. And that's a powerful combination. Inflation Given this, investors might wonder what the stock was doing at just over half its current price back in 2022. The answer is the UK was going through a period of high inflation. United Kingdom Inflation Rate 2022-25 Source: Trading Economics That's a nuisance for car insurance companies across the board. It makes repairing and replacing vehicles more expensive and they have to wait until policies expire to increase their prices. Even for a company like Admiral, this can be a genuine risk. But in terms of the stock market, it can also present an opportunity to buy shares in an outstanding business at a great price. Leaving aside share price gains, the firm has returned £4.52 in dividends per share to shareholders since July 2022. That's a return of almost 9% per year by itself. Inflation in the UK is just starting to show signs of picking up again after falling to the Bank of England's target 2% level a year ago. And I think investors should pay close attention. I'm not expecting a return to the 9% inflation levels of 2022. But having missed the opportunity back then, I'm on the lookout for a chance to buy shares in Admiral if the stock falls. Why wait? Right now, Admiral shares come with a 4.35% dividend yield. Given the quality of the underlying business and its competitive position, there's an argument to be made for buying the stock today. I have a lot of sympathy with that argument. But at the very least, I think investors should have the stock on their watchlists and keep a close eye on inflation. The post Investors could get a second chance at this top passive income stock appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Stephen Wright has no position in any of the shares mentioned. The Motley Fool UK has recommended Admiral Group Plc. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
RELX First Half 2025 Earnings: EPS: UK£0.53 (vs UK£0.53 in 1H 2024)
RELX (LON:REL) First Half 2025 Results Key Financial Results Revenue: UK£4.74b (up 2.2% from 1H 2024). Net income: UK£976.0m (flat on 1H 2024). Profit margin: 21% (in line with 1H 2024). EPS: UK£0.53. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. All figures shown in the chart above are for the trailing 12 month (TTM) period RELX Earnings Insights Looking ahead, revenue is forecast to grow 6.0% p.a. on average during the next 3 years, compared to a 6.3% growth forecast for the Professional Services industry in the United Kingdom. Performance of the British Professional Services industry. The company's share price is broadly unchanged from a week ago. Risk Analysis We don't want to rain on the parade too much, but we did also find 1 warning sign for RELX that you need to be mindful of. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) 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. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
