Assessing the Upcoming Dividend and Financial Health of Christian Dior SE
Christian Dior SE (CHDRY, Financial) recently announced a dividend of $1.51 per share, payable on 0000-00-00, with the ex-dividend date set for 2023-12-04. 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 Christian Dior SE's dividend performance and assess its sustainability.
What Does Christian Dior SE Do?
Christian Dior SE is a prestigious holding company, boasting full ownership of Christian Dior Couture and a commanding stake in LVMH. Specializing in high-end fashion, Christian Dior Couture offers a wide array of luxury products including apparel, leather goods, and fine jewelry. The company reaches its global customer base primarily through its own retail stores. Through its significant share in LVMH, Christian Dior SE extends its influence across multiple sectors such as wines and spirits, fashion and leather goods, watches and jewelry, perfumes and cosmetics, and selective retailing. The company's impressive brand portfolio includes renowned names like Dom Perignon, Hennessy, Louis Vuitton, Fendi, TAG Heuer, and Sephora, with revenue streams spanning Europe, Asia, and the United States.
A Glimpse at Christian Dior SE's Dividend History
Christian Dior SE has demonstrated a commendable consistency in its dividend payments since 2012, opting for a bi-annual distribution rhythm. Investors seeking to understand the company's commitment to shareholder returns would find the historical trends of dividends per share particularly insightful.
Breaking Down Christian Dior SE's Dividend Yield and Growth
Christian Dior SE's current 12-month trailing dividend yield stands at 1.77%, coupled with a 12-month forward dividend yield of 1.87%. This forward-looking metric indicates an anticipated increase in dividend payments over the next year. Over the past three years, Christian Dior SE has achieved an impressive annual dividend growth rate of 24.60%, which slightly moderates to 23.60% when expanded to a five-year period. The 5-year yield on cost for Christian Dior SE stock is approximately 5.11% as of today.
The Sustainability Question: Payout Ratio and Profitability
To gauge the long-term viability of Christian Dior SE's dividends, one must scrutinize the dividend payout ratio. This metric, which currently stands at 0.33, reveals the proportion of earnings allocated to dividends. Christian Dior SE's conservative payout ratio suggests a healthy balance between rewarding shareholders and retaining earnings for growth. Moreover, the company's profitability rank of 9 out of 10 underscores its robust earnings capacity. This, combined with a decade-long record of positive net income, cements Christian Dior SE's financial strength.
Growth Metrics: The Future Outlook
Dividend sustainability is closely tied to a company's growth prospects. Christian Dior SE's growth rank of 9 out of 10 is indicative of a strong growth trajectory. The company's revenue model is robust, as evidenced by its revenue per share and a 3-year revenue growth rate of 13.80% per year, surpassing 74.55% of global competitors. Christian Dior SE's 3-year EPS growth rate and 5-year EBITDA growth rate of 20.20% further reinforce the company's ability to maintain and potentially increase its dividend offerings.
Next Steps
In conclusion, Christian Dior SE's upcoming dividend payment, along with its historical dividend growth, conservative payout ratio, and strong profitability, paint a positive picture for investors seeking reliable income streams. The company's impressive growth metrics suggest a capacity for sustaining and potentially increasing dividends, making it an attractive option for value investors. Those interested in exploring high-dividend yield opportunities may benefit from GuruFocus Premium's 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.
