Understanding Indorama Ventures PCL's Dividend Dynamics
Indorama Ventures PCL (INDOY, Financial) recently announced a dividend of $0.07 per share, payable on 2023-12-29, with the ex-dividend date set for 2023-11-28. As investors look forward to this upcoming payment, the spotlight also shines on the company's dividend history, yield, and growth rates. Using the data from GuruFocus, let's look into Indorama Ventures PCL's dividend performance and assess its sustainability.
What Does Indorama Ventures PCL Do?
Indorama Ventures PCL is engaged in the manufacture and distribution of various petrochemical products, with a broad portfolio that includes Polyethylene Terephthalate (PET) and fibers such as Polyester and Nylon. The company operates in three reportable segments: Combined PET, Integrated Oxides and Derivatives, and Fibers, with the Combined PET segment generating the maximum revenue.
A Glimpse at Indorama Ventures PCL's Dividend History
Indorama Ventures PCL has upheld a reliable dividend payment record since 2015, with dividends currently being distributed on a quarterly basis. Below is a chart showing annual Dividends Per Share for tracking historical trends.
Breaking Down Indorama Ventures PCL's Dividend Yield and Growth
As of today, Indorama Ventures PCL boasts a 12-month trailing dividend yield of 5.24% and a 12-month forward dividend yield of 4.64%, suggesting an expectation of a decrease in dividend payments over the next year. Over the past three years, the annual dividend growth rate was 1.20%, which drops to 0.80% per year over a five-year span. However, looking at the past decade, Indorama Ventures PCL's annual dividends per share growth rate stands at an impressive 12.40%.
Considering Indorama Ventures PCL's dividend yield and five-year growth rate, the 5-year yield on cost for Indorama Ventures PCL stock is approximately 5.45%.
The Sustainability Question: Payout Ratio and Profitability
The dividend payout ratio is crucial in assessing the sustainability of a company's dividend. Indorama Ventures PCL's dividend payout ratio is currently 0.00 as of 2023-09-30, indicating that the company is not distributing earnings as dividends or the data is not available. Indorama Ventures PCL's profitability rank is a robust 7 out of 10, with the company reporting positive net income consistently over the past ten years, indicating sound profitability.
Growth Metrics: The Future Outlook
Indorama Ventures PCL's growth rank of 7 out of 10 signals a positive growth trajectory relative to its competitors. The company's revenue per share and 3-year revenue growth rate show a strong revenue model, with an average annual increase of approximately 23.00%, outperforming about 80.62% of global competitors. Additionally, Indorama Ventures PCL's 3-year EPS growth rate indicates an average annual earnings increase of around 102.20%, outperforming about 94.52% of global competitors.
Next Steps
Indorama Ventures PCL's dividend payments, growth rate, payout ratio, profitability, and growth metrics paint a picture of a company with a strong dividend history and promising financial health. Investors should consider these factors when evaluating Indorama Ventures PCL as a potential addition to their dividend-focused portfolios. For those seeking high-dividend yield stocks, GuruFocus Premium users can utilize the High Dividend Yield Screener.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
