Bukit Sembawang Estates Limited (SGX:B61) is about to trade ex-dividend in the next four days. Typically, the ex-dividend date is one business day before the record date which is the date on which a company determines the shareholders eligible to receive a dividend. The ex-dividend date is important as the process of settlement involves two full business days. So if you miss that date, you would not show up on the company's books on the record date. Meaning, you will need to purchase Bukit Sembawang Estates' shares before the 2nd of August to receive the dividend, which will be paid on the 16th of August.
The company's next dividend payment will be S$0.16 per share, on the back of last year when the company paid a total of S$0.16 to shareholders. Looking at the last 12 months of distributions, Bukit Sembawang Estates has a trailing yield of approximately 3.2% on its current stock price of SGD4.98. Dividends are a major contributor to investment returns for long term holders, but only if the dividend continues to be paid. So we need to investigate whether Bukit Sembawang Estates can afford its dividend, and if the dividend could grow.
View our latest analysis for Bukit Sembawang Estates
If a company pays out more in dividends than it earned, then the dividend might become unsustainable - hardly an ideal situation. Bukit Sembawang Estates has a low and conservative payout ratio of just 12% of its income after tax. Yet cash flow is typically more important than profit for assessing dividend sustainability, so we should always check if the company generated enough cash to afford its dividend. It paid out 10% of its free cash flow as dividends last year, which is conservatively low.
It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously.
Click here to see how much of its profit Bukit Sembawang Estates paid out over the last 12 months.
SGX:B61 Historic Dividend July 28th 2022
Have Earnings And Dividends Been Growing?
Companies with consistently growing earnings per share generally make the best dividend stocks, as they usually find it easier to grow dividends per share. If earnings decline and the company is forced to cut its dividend, investors could watch the value of their investment go up in smoke. With that in mind, we're encouraged by the steady growth at Bukit Sembawang Estates, with earnings per share up 2.7% on average over the last five years. Bukit Sembawang Estates is retaining more than three-quarters of its earnings and has a history of generating some growth in earnings. We think this is a reasonable combination.
The main way most investors will assess a company's dividend prospects is by checking the historical rate of dividend growth. Bukit Sembawang Estates's dividend payments per share have declined at 1.2% per year on average over the past 10 years, which is uninspiring.
To Sum It Up
Has Bukit Sembawang Estates got what it takes to maintain its dividend payments? Earnings per share growth has been growing somewhat, and Bukit Sembawang Estates is paying out less than half its earnings and cash flow as dividends. This is interesting for a few reasons, as it suggests management may be reinvesting heavily in the business, but it also provides room to increase the dividend in time. We would prefer to see earnings growing faster, but the best dividend stocks over the long term typically combine significant earnings per share growth with a low payout ratio, and Bukit Sembawang Estates is halfway there. Overall we think this is an attractive combination and worthy of further research.
With that in mind, a critical part of thorough stock research is being aware of any risks that stock currently faces. In terms of investment risks, we've identified 1 warning sign with Bukit Sembawang Estates and understanding them should be part of your investment process.
Generally, we wouldn't recommend just buying the first dividend stock you see. Here's a curated list of interesting stocks that are strong dividend payers.
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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.
武吉森巴旺置業有限公司(新加坡證券交易所股票代碼:B61)即將在未來四天內進行除股息交易。通常,除息日期是記錄日期之前的一個工作日,記錄日期是公司確定有資格獲得股息的股東的日期。除息日期很重要,因為結算過程需要整整兩個工作日。因此,如果你錯過了那個日期的預期,你就不會在記錄日期出現在公司的賬簿上。這意味着,您需要在8月2日之前購買Bukit Sembawang EStates的股票才能獲得股息,股息將於8月16日支付。
該公司的下一次股息支付將是每股0.16新元,而去年該公司向股東支付的股息總額為0.16新元。看看過去12個月的分配情況,Bukit Sembawang EStates的往績收益率約為3.2%,目前的股價為4.98新元。股息是長期持有者投資回報的主要貢獻者,但前提是繼續支付股息。因此,我們需要調查Bukit Sembawang EStates能否支付得起股息,以及股息是否會增長。
查看我們對武吉森巴旺地產的最新分析
如果一家公司支付的股息超過了它賺取的股息,那麼股息可能會變得不可持續--這幾乎不是一個理想的情況。Bukit Sembawang EStates的派息率低而保守,僅佔其税後收入的12%。然而,在評估股息可持續性時,現金流通常比利潤更重要,因此我們應該始終檢查公司是否產生了足夠的現金來支付股息。它去年支付了10%的自由現金流作為股息,這是保守的低水平。
看到利潤和現金流都涵蓋了股息,這是令人鼓舞的。這通常表明,只要收益不會急劇下降,股息是可持續的。
點擊此處查看Bukit Sembawang EStates在過去12個月中支付了多少利潤。
新交所:B61歷史性紅利2022年7月28日
盈利和股息一直在增長嗎?
每股收益持續增長的公司通常會獲得最好的股息股票,因為它們通常會發現更容易增加每股股息。如果收益下降,該公司被迫削減股息,投資者可能會眼睜睜地看着他們的投資價值化為烏有。考慮到這一點,我們對武吉森巴旺莊園的穩步增長感到鼓舞,在過去五年中,每股收益平均增長了2.7%。Bukit Sembawang EStates保留了超過四分之三的收益,並有創造一定收益增長的歷史。我們認為這是一個合理的組合。
大多數投資者評估一家公司的股息前景的主要方式是檢查歷史上的股息增長率。Bukit Sembawang EStates的每股股息支出在過去10年中以平均每年1.2%的速度下降,這是令人沮喪的。
總結一下
Bukit Sembawang EStates是否獲得了維持股息支付的能力?每股收益一直在增長,Bukit Sembawang EStates只支付了不到一半的收益和現金流作為股息。這很有趣,有幾個原因,因為它表明管理層可能正在對業務進行大量再投資,但它也提供了及時增加股息的空間。我們更希望看到收益增長更快,但長期而言,最好的股息股票通常將顯著的每股收益增長與較低的派息率結合在一起,而Bukit Sembawang EStates已經達到了一半。總體而言,我們認為這是一個有吸引力的組合,值得進一步研究。
考慮到這一點,徹底的股票研究的一個關鍵部分是意識到股票目前面臨的任何風險。在投資風險方面,我們已經確定了1個警告信號瞭解武吉森巴旺地產,這應該是你投資過程的一部分。
一般來説,我們不會建議只購買你看到的第一批股息股票。這是這是一份精心挑選的股息支付強勁的有趣股票的名單。
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本文由Simply Wall St.撰寫,具有概括性。我們僅使用不偏不倚的方法提供基於歷史數據和分析師預測的評論,我們的文章並不打算作為財務建議。它不構成買賣任何股票的建議,也沒有考慮你的目標或你的財務狀況。我們的目標是為您帶來由基本面數據驅動的長期重點分析。請注意,我們的分析可能不會將最新的對價格敏感的公司公告或定性材料考慮在內。Simply Wall St.對上述任何一隻股票都沒有持倉。