Unveiling Hypera SA's Dividend Performance: A Comprehensive Analysis
Understanding the Dividend Prospects of Hypera SA (HYPMY)
Hypera SA (HYPMY) recently announced a dividend of $0.06 per share, payable on a date yet to be confirmed, with the ex-dividend date set for October 5, 2023. As investors eagerly anticipate this forthcoming payment, it's essential to delve into the company's dividend history, yield, and growth rates. Using GuruFocus data, let's unpack Hypera SA's dividend performance and evaluate its sustainability.
About Hypera SA
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Hypera SA is a leading company in the specialty and generic drug manufacturing industry. Primarily targeting the pharmaceutical segments of the Brazilian market, Hypera SA also has a strong presence in nonprescription drugs and branded generics. The company's diverse portfolio includes generic medicines and prescription products. With a broad sales and distribution structure, Hypera SA operates in various segments, including Consumer Health, Branded Prescription, Similars e Generics, Skincare, and Non-Retail Market.
Hypera SA's Dividend History
Since 2016, Hypera SA has demonstrated a consistent dividend payment record, distributing dividends on a quarterly basis. The chart below illustrates the annual Dividends Per Share for tracking historical trends.
Hypera SA's Dividend Yield and Growth
Currently, Hypera SA boasts a 12-month trailing dividend yield of 3.58% and a 12-month forward dividend yield of 3.64%. This suggests that investors can expect increased dividend payments over the next 12 months. Over the past three years, Hypera SA's annual dividend growth rate was 4.80%, which decreased to -1.10% per year when extended to a five-year horizon. Consequently, the 5-year yield on cost of Hypera SA stock is approximately 3.39% as of today.
Assessing Dividend Sustainability: Payout Ratio and Profitability
The sustainability of a dividend is determined by evaluating the company's payout ratio. The dividend payout ratio provides insights into the portion of earnings the company distributes as dividends. A lower ratio suggests that the company retains a significant part of its earnings, thereby ensuring the availability of funds for future growth and unexpected downturns. As of June 30, 2023, Hypera SA's dividend payout ratio is 0.45.
Hypera SA's profitability rank of 9 out of 10, suggests good profitability prospects. The company has reported positive net income for each year over the past decade, further solidifying its high profitability.
Growth Metrics: The Future Outlook
For a company to sustain dividends, robust growth metrics are essential. Hypera SA's growth rank of 9 out of 10 suggests a promising growth trajectory relative to its competitors. The company's revenue per share and 3-year revenue growth rate indicate a strong revenue model. Hypera SA's revenue has increased by approximately 32.30% per year on average, a rate that outperforms approximately 89.97% of global competitors.
The company's 3-year EPS growth rate showcases its capability to grow its earnings, a critical component for sustaining dividends in the long run. During the past three years, Hypera SA's earnings increased by approximately 12.80% per year on average, a rate that outperforms approximately 52.14% of global competitors. Lastly, the company's 5-year EBITDA growth rate of 9.90%, outperforms approximately 51.77% of global competitors.
Concluding Remarks
Considering Hypera SA's consistent dividend payments, dividend growth rate, payout ratio, profitability, and robust growth metrics, the company presents a promising investment for those seeking sustainable dividends. However, as with any investment, it is crucial for investors to conduct thorough research and consider various factors before making a decision. GuruFocus Premium users can screen for high-dividend yield stocks using the High Dividend Yield Screener.
This article first appeared on GuruFocus.
